An independent Resort Feasibility Study evaluating a 60-unit hybrid boutique resort refinance in Dunsmuir, California.
DUNSMUIR, California — Wert-Berater, Inc., an independent feasibility study consulting firm serving lenders and government agencies since 1998, has completed a Resort Feasibility Study in Dunsmuir, California.
Wert-Berater served as independent feasibility consultant to the lender and CDC. Party names are withheld consistent with the confidential nature of underwriting and capital-advisory work; figures represent the project as evaluated at the study date.
Refinance of a repositioned hospitality asset transformed from a legacy 25-unit roadside motel into a 60-unit hybrid resort combining lodge rooms, rustic cabins, modern cabins, tiny homes, and Airstream-style accommodations, with approximately $7.0 million already deployed by ownership since 2022. Rather than relying on borrower-provided historicals, the study built a market-supported underwriting framework: differentiated ADRs of $176–$248 by unit type producing a blended stabilized ADR of approximately $217, occupancy ramping from 57.0 percent to a stabilized 64.5 percent, and stabilized revenue of approximately $3.19 million with NOI of $1,147,623 after a 2.0 percent reserve allowance — a 36.0 percent margin.
A mixed-format, experience-driven lodging platform positioned above traditional motels, competitive with boutique and short-term-rental supply, and below luxury resort pricing in a small, seasonal Northern California tourism market driven by Mount Shasta, river access, and outdoor recreation.
$4,990,438 bank first mortgage at 8.100% over 300 months; $4,436,000 SBA debenture at 5.725% — total refinance debt of $9,426,438 with annual debt service of $800,260.
The study's defining task was distinguishing stabilized supportability from ramp-period risk — and stating both without softening. Projected coverage of 0.96x in Year 1 and 1.17x in Year 2 falls below the 1.25x lender-comfort threshold, so the study quantified the required interim DSCR reserve at $295,827 ($235,666 Year 1; $60,161 Year 2) rather than adjusting assumptions to make the problem disappear. When SBA-related review requested a coverage case excluding the twelve Airstream units, the addendum recomputed the deal on a 48-unit basis — stabilized DSCR of 1.16x, below threshold through Year 6 — and concluded plainly that the no-Airstream case is not supportable on the original stabilized basis without additional structural credit support or reduced leverage. The determination was narrowed, not revised, under underwriting pressure.
Wert-Berater, Inc. is an independent feasibility study consulting firm founded in 1998, providing lender- and agency-facing feasibility studies, highest-and-best-use analyses, and capital-advisory support. The firm has completed more than 4,000 engagements across all 50 states and internationally, evaluating over $40.2 billion in project value for SBA, USDA, EB-5, conventional, and institutional financing decisions. In every engagement, fiduciary duty runs to the lender and the applicable agency.
Media contact: Donald Safranek, MSc, President, Wert-Berater, Inc. — +1 310-857-2443 ext. 800. Press inquiries only; client, lender, and property identities remain confidential.
President, Wert-Berater, Inc. — independent feasibility study consultants since 1998. More than 4,000 feasibility studies completed across all 50 states and internationally, evaluating $40.2 billion in project value for SBA, USDA, EB-5, conventional, and institutional financing decisions. Fiduciary duty runs to the lender and agency in every engagement.
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Schedule a ConversationIndependent feasibility studies since 1998 — 4,000+ engagements, $40.2 billion in evaluated project value. Standard delivery in 10 to 15 business days. Fiduciary duty to the lender and agency.