MANHATTAN — AFC Realty Capital has arranged a $17.6 million non-recourse construction loan for the development of a new 200-room full-service Sheraton hotel in Mount Laurel, N.J.

The loan will be used by the owners to redevelop the property, as well as pay off existing debt and fund certain reserves, according to the Manhattan-based boutique real estate investment bank.

The loan was placed by Michael Sonnabend, an AFC Realty Capital principal, with a subsidiary of an investment bank. The loan was for a four-year term and is priced based on a floating rate of based on Libor.

The new Sheraton hotel will rise on an eight-acre site that currently houses a 100-room Ramada Inn. The development will also include a 20,000 square-foot of meeting space.

Situated a 555 Fellowship Road, the eight-story Sheraton Mt. Laurel Hotel will be ideally situated one-quarter mile from the New Jersey Turnpike and the I295 corridor. In addition, the facility will feature a restaurant, bar/lounge, business meeting rooms, business center, fitness center and pool.

AFC Realty Capital is an innovative real estate investment banking firm specializing in debt and equity financing, investment, development, and consulting/advisory services. The firm has been instrumental, both in a principal and advisory capacity, in financing, investment and development transactions aggregating in excess of $10 billion.

###