Rainmaker Hospitality Adds Pair of Georgetown, Kentucky Hotels to Its Portfolio

RainMaker Hospitality added a pair of hotels to its Kentucky portfolio with the purchase of a Hampton Inn located at 128 Darby Dr. and the Hilton Garden Inn located at 110 Grandstand Dr., both in Georgetown, Kentucky for $13.05 million or about $71,311per room.

Locally based Dornoch Development sold the pair of hotels in a late-first-quarter transaction. Steve Kirby and Carter Wilcox with Mumford Company represented both the buyer and the seller in the transaction.

Mumford's Steve Kirby told CoStar News his firm sold the Hampton Inn to Dornoch Development in 2005 and the group developed the Hilton Garden property in 2008. After meeting its investment objectives for the properties, Dornoch tapped Mumford to monetize the existing equity through a sale to another local owner and operator with whom Mumford also has had a long relationship.

The sale enabled Dornach to exit and redeploy capital in other investments, while RainMaker Hospitality looks forward to increased cash flow after renovating both properties.

The buyer financed the deal with a loan from Home S&L Co. in the amount of $6,299,450 and another loan from Cumberland Valley National Bank in the amount of $9,582,900 as well as a down payment on both properties totaling about $167,650.

See Costar Sale Comp# 6341471 for more details on this transaction.