Business
Mag Mile Capital Closes $23.5 Million Acquisition Financing for Landmark Homewood Suites Chicago-Downtown Hotel
Mag Mile Capital Closes $23.5 Million Acquisition Financing for Landmark Homewood Suites Chicago-Downtown Hotel.
About this update from Mag Mile Capital Inc.
[{"type":"text","content":"\r\n\r\n \r\n \r\n Mag Mile Capital Closes $23.5 Million Acquisition Financing for Landmark Homewood Suites Chicago-Downtown Hotel\r\n \r\n \r\n\r\n\r\nMag Mile Capital Closes $23.5 Million Acquisition Financing for Landmark Homewood Suites Chicago-Downtown Hotel\r\n\r\n\r\n\r\nNewsfile Corp.\r\n\r\n\r\nNewsfile Corp\r\n\r\n\r\nChicago, Illinois--(Newsfile Corp. - May 20, 2026) - Mag Mile Capital, Inc. (OTCQB: MMCP) (\"Mag Mile\" or \"the Company\") is pleased to announce the successful closing of a $23,500,000 ($100,858/key) permanent fixed-rate acquisition loan for the Homewood Suites by Hilton Chicago-Downtown, located at 40 E. Grand Avenue in Chicago's River North neighborhood. The property comprises 233 all-suite keys-making it one of the largest Homewood Suites by Hilton properties in the country-and sits just one block west of the Magnificent Mile, positioning it among the most strategically located extended-stay assets in the city. The transaction was arranged on behalf of an investment team led by Midwest based high-net-worth investors - Prakash Patel and Nirav Patel, the sponsors, in connection with the property's $29,000,000 ($124,464/key) acquisition. The loan includes a $3,300,000 ($14,163/key) PIP holdback to fund a planned property improvement program, consistent with the sponsor's commitment to further elevating an already well-positioned asset.\r\n\r\n\r\nClosing Tombstone for Homewood Suites Downtown Chicago\r\n\r\nTo view an enhanced version of this graphic, please visit:\r\nhttps://images.newsfilecorp.com/files/12080/298194_homewood_tombstone_highres.jpg\r\nThe transaction involved several notable underwriting considerations that Mag Mile Capital addressed proactively throughout the process. A key focus was arriving at a well-supported PIP reserve figure. Third-party budget reviewers and other prospective buyers had underwritten the PIP at a higher cost; Mag Mile Capital worked collaboratively with the lender and their independent reviewer to present and validate the sponsor's hands-on approach to renovation management and their track record of delivering renovations efficiently and on budget-resulting in a PIP figure that all parties were fully aligned on.\r\nThe team also seamlessly addressed the nuances of a unionized labor environment at the property and insurance considerations specific to the hotel's po...