Live Oak, Mainsail outline progress and financing hurdles for King's Landing hotel

Live Oak Holdings told commissioners it has secured municipal site approvals, completed civil plans for all three phases and received Marriott development committee approval for a Tribute portfolio hotel, but told the commission the hotel remains the primary financing challenge.

"Notwithstanding our tremendous progress and all of the recent approvals, this submittal date in the schedule proved to be premature," Bill Ware said, acknowledging a technical default on an exhibit schedule and asking for a 180‑day period to procure equity. Joe Collier of Mainsail said lenders demand comparable full‑service hotels and cited construction cost and rising interest rates as obstacles; he estimated the hotel's price tag at roughly $65,000,000 and said the project will likely require localized equity approaches if institutional investors' underwriting criteria no longer fit the market.

Live Oak said it has invested about $2,000,000 in soft costs to date and that closing on the construction loan and land purchase will require finishing vertical hotel construction drawings and permitting; commissioners and staff discussed how closing, draw schedules and interest costs will affect timing.