Bank Meeting Playbook

1. Executive Summary

Establish senior lending relationships to refinance near-term maturities and consolidate the Guesthouse portfolio. Let banks propose structure—this playbook outlines what we're open to discussing, not demands.

$2.6M

Near-Term Maturities

82 days

Until Titus Due

$11.1M

Portfolio Value

1.88×

Combined DSCR

Critical Dates:
• Friday, January 31 — Palm Springs deposit decision ($67K)
• April 17, 2026 — Titus House seller financing matures ($1.4M)
• May 1, 2026 — IRBMB mezzanine matures ($1.2M)

Key Milestones

Date	Event	Countdown
Jan 31, 2026	Palm Springs deposit decision ($67K)	5 days
Feb 1, 2026	Guesthouse opens (Horan House)	6 days
Feb 16, 2026	Palm Springs Manor closes	22 days
April 1, 2026	Titus House bakery opens	66 days
April 17, 2026	Titus seller financing matures ($1.4M)	82 days
May 1, 2026	IRBMB mezzanine matures ($1.2M)	96 days

2. Guarantor Position

Lead with income, not assets. The W-2 transforms this from "asset-backed" to "income-supported."

Stated Net Worth	$7,148,517
Household Income	$526,000/year
Trevor W-2 (MI Tech)	$348,000
Sarah Income	$60,000
Dividends & RE Income	$118,000
Personal RE Equity	$1,818,000
Securities (Trust)	$2,837,269
Credit Score	750+

Key Insight: W-2 income alone ($348K) covers $1.4M debt service at 2.8×. That's the story for banks—stable, verifiable income from a technology company.

                        PFS Source: CNB Personal Financial Statement dated January 19, 2026. All figures verified against current schedules.
                    

3. Complete Property Schedule

Operating Properties (Potential Collateral)

Property	Entity	Value	Debt	Lender	Maturity
10382 Donner Pass Titus House / The Hall	Titus House, LLC	$2,000,000	$1,400,000	Seller @ 8.75%	Apr 17, 2026
10403 High Street Horan House / Flagship	Truckee Flagship 10403	$4,600,000	$3,050,000	TCB $1.85M + IRBMB $1.2M	May 1, 2026
10393 High Street Annex / Future expansion	Truckee Flagship 10393	$500,000	$225,000	Sasha Dansky	TBD
486 E Mel Ave Palm Springs Manor	Palm Springs Manor, LLC	$4,000,000	TBD	Closes Feb 16	New
Total Operating Properties		$11,100,000	$4,675,000

Personal Properties

Property	Title	Value	Mortgage	Equity	Lender
2914 Emerson St Palo Alto (Primary)	Cornwell Rev Trust	$3,000,000	$1,500,000	$1,500,000	Chase HELOC
5059 Gold Bend Dr Truckee Condo	Cornwell Rev Trust	$577,000	$259,000	$318,000	US Bank
Total Personal Properties		$3,577,000	$1,759,000	$1,818,000

4. IRBMB Cross-Collateralization Issue

The IRBMB $1.2M mezzanine loan on 10403 High Street is cross-collateralized against three properties:

1.	10403 High Street	Guesthouse operating property	✓ Appropriate
2.	2914 Emerson Street	Personal residence (Palo Alto)	⚠️ Want released
3.	5059 Gold Bend Drive	Personal condo (Truckee)	⚠️ Want released

Goal: Refinance IRBMB and release personal properties from Guesthouse debt. New bank loan should be secured only by operating properties.

Key Constraint: Banks won't sit in second position. Refinancing IRBMB ($1.2M) means also taking out Tri Counties Bank ($1.85M)—the full $3.05M on 10403 High Street.

5. Financing Scenarios (A, B, C, D)

Let banks propose structure. These are options we're open to discussing—not demands.

Scenario A: Phased Approach (Recommended for Tahoe)

                Logic: Simple deal first. $1.4M against $2M property (70% LTV). W-2 covers 2.8×. Establishes relationship, then expand to Horan refinance.
            

Phase 1: Titus House	$1,400,000	70% LTV	Before April 17
Phase 2: Horan House	$3,050,000	66% LTV	Before May 1
Combined Tahoe	$4,450,000	67% LTV

Scenario B: Portfolio Loan (Single Facility)

                Logic: Cross-collateralized senior facility across Lake Tahoe properties. Single relationship, cleaner structure.
            

Titus + Horan Combined	$4,450,000	67% LTV on $6.6M
Including 10393 High Street	$4,675,000	66% LTV on $7.1M

Scenario C: Palm Springs with Fraiman (Isolated)

                Logic: Daniel Fraiman co-signs a bank note on Palm Springs only—isolated from Tahoe. He invests via cash + deferred construction profit from $2M Hall build. Seller allows first position ahead of their $2.375M note.
            

Palm Springs Capital Stack	Amount	Notes
Bank First Lien	$750,000	Seller allows first position
Draw-down Line (construction/WC)	$500,000	Working capital + construction draws
Seller Financing (2nd position)	$2,375,000	5% Y1, subordinates to construction
Fraiman Investment	~$500,000	Cash + deferred from Hall profit
Trevor / Other Equity	~$250,000	Balance (may include Chase draw)
Total Sources	$3,875,000+

Why banks like this:

Ultra-low LTV: $1.25M on $4M = 31%
Colliers appraisal: $4M → $7.5M stabilized
Co-guarantor is the builder (aligned)
$30K/month in-place rent covers carry
Seller subordination signals confidence

Split-bank possibility:

CNB does Titus ($1.4M) — local, simple
CBC does Horan + Palm Springs — CA focus
Smaller asks easier to approve
Competition keeps both honest

Scenario D: CNB Full Portfolio (If They Want It All)

                Logic: CNB is entrepreneurial and relationship-focused ("you're not a number"). If they want the full relationship, we can offer equity participation and a long-term partnership structure. Daniel Fraiman's existing CNB relationship strengthens this path.
            

CNB Full Portfolio	Amount	Notes
Lake Tahoe Campus	$4,450,000	Titus $1.4M + Horan $3.05M (67% LTV)
Palm Springs 1st Lien	$750,000	Seller allows first position
Palm Springs Draw Line	$500,000	Construction / working capital
Total CNB Exposure	$5,700,000	Full relationship

Sweeteners for CNB Full Relationship

Scenario D Capital Stack:

CNB Senior Debt	$5,700,000
Seller Financing (PS 2nd)	$2,375,000
Fraiman Equity	~$500,000
Trevor / Chase Equity	~$250,000
Total Capitalization	$8,825,000

CNB Benefits:

Multi-property hospitality relationship
Operating deposit accounts (~$2M+ annually)
Equity upside on value creation
Construction lending pipeline
Two trusted guarantors (Trevor + Daniel)
DMUR zoning = regulatory stability

The Pitch: "CNB's philosophy is relationship banking—you know your customers by name. We're building a hospitality platform, not flipping properties. If you want the full relationship, we can structure this as a partnership: you get the deposits, the construction draws, and we can discuss equity participation on the upside. Daniel Fraiman is already your customer and he's coming in as my partner on Palm Springs."

6. CNB Meeting Strategy

Citizens National Bank of Texas

CNB — Local Tahoe City Presence

3080 N Lake Blvd

Tahoe City, CA 96145

Texas-headquartered community bank (est. 1868) with Tahoe City branch. Known for personalized service and direct access to decision-makers. Active in commercial and real estate lending in Tahoe market.

Meeting Contacts

Justin Sheaff

Branch Manager, Tahoe City

Leads CNB's Tahoe office. Daniel Fraiman relationship—existing commercial customer. Local market expertise. Direct access to credit committee.

Elliot Jones

CNB Credit / Underwriting

Credit perspective. Evaluates collateral, cash flow, and guarantee structure. Focus on risk mitigation.

What CNB Sees (Positives)

Multi-property hospitality borrower
Daniel Fraiman relationship (trusted)
Strong W-2 income ($348K)
Conservative LTV (67%)
1.88× DSCR on combined campus
Local—they know Truckee market

Concerns to Address

New hospitality operation (pre-stabilized)
Near-term maturities (April/May)
Multiple properties = complexity
W-2 is stable but not RE-specific

                        Opening: "Daniel Fraiman suggested I talk to you. I've got a hospitality portfolio in Truckee with some near-term maturities, and I'm looking to establish a banking relationship. My income alone covers this debt service 2.8×—I'd love to hear how CNB typically structures deals like this."
                    

7. CBC Meeting Strategy

Commercial Bank of California

CBC — California Hospitality Focus

Via Alan Summers

Statewide California

California-focused commercial bank with hospitality lending expertise. Connected to Alan Summers network. Understanding of DMUR zoning and CA regulatory environment. Tri Counties Bank already validated Horan House for their underwriting.

Meeting Contacts

Diana Kershaw

Senior Lender

Introduced via Alan Summers. CA hospitality focus. Knows Ron Elvidge through Alan—familiar with IRBMB mezz structure. Can evaluate DMUR zoning.

David Tavedich

CBC Credit / Underwriting

Credit analysis perspective. Evaluates cash flow projections and guarantee structure. Familiar with historical VRBO comps.

What CBC Sees (Positives)

All California collateral
DMUR zoning—not STR, avoids risk
Alan Summers relationship
Tri Counties validated Horan House
Strong guarantor income ($526K)
Two-market platform (Tahoe + PS)

Concerns to Address

Pre-stabilized hospitality
Near-term maturities require speed
Taking out existing lender (TCB)
Cross-collateral release complexity

                        Opening: "Alan Summers suggested we talk. I've got a hospitality portfolio in Truckee—Tri Counties already underwrote the flagship property based on historical VRBO comps. I'm looking to consolidate and establish a longer-term relationship. How does CBC typically structure deals like this for California hospitality?"
                    

8. Palm Springs + Fraiman Structure

Daniel Fraiman is a Truckee builder, existing CNB customer, and potential partner for Palm Springs Manor. His participation unlocks bank financing with co-guarantee isolated to Palm Springs only.

Fraiman Buy-In Structure

Component	Amount
Cash investment (equity)	$100,000–150,000
Construction profit (deferred)	$350,000–400,000
Total Commitment	~$500,000

Guarantee limited to Palm Springs only—isolated from Tahoe portfolio.

What Fraiman Gets

$2M+ Hall construction contract
Equity in property worth $7.5M stabilized
Limited guarantee (Palm Springs only)
15-20% builder margin on construction
Pipeline for future Guesthouse builds

Palm Springs Appraisal (Colliers)

As-Is Value (Dec 2025)	$4,000,000
Stabilized Value (Jan 2027)	$7,500,000
Real Property (stabilized)	$7,050,000
FF&E (stabilized)	$450,000
Value Creation	+87.5%

Construction Scope

Hall Construction (F&B Hub)	$2,000,000
Boarding House (10 keys)	$1,500,000
Flagship House (7 keys)	$2,500,000
Total Construction	$6,000,000

The Math: Bank $750K first lien + $500K draw = $1.25M exposure on $4M property = 31% LTV with co-guarantor. Seller financing ($2.375M @ 5%) sits in second position and subordinates to construction. In-place rental income ($30K/month) covers carry during buildout.

Palm Springs: How We Build the $1.5M (Feb 16 Closing)

Deadline: $67K additional deposit due Friday, January 31. Closing February 16 requires $1,500,000 cash to seller (net of $100K deposits already paid).

Bank Requirement: CNB wants to see 20% equity. On $750K first lien, that's $150K minimum equity behind them—but they may view it as 20% of total capitalization.

Sources of Funds (Closing)
Bank 1st Lien Proceeds	$750,000
Seller allows first position ahead of $2.375M note
Fraiman Cash + Front	$450,000
$150K cash equity + $300K fronted from construction profit
Trevor (Equity / Chase)	$300,000
HELOC draw, securities, or small equity raise
Total Sources	$1,500,000

                        Equity Check (20% Test):

                        • Bank 1st Lien: $750,000

                        • Equity behind bank: $750,000 (Fraiman $450K + Trevor $300K)

                        • Equity ratio: 50% — well above 20% requirement

                        Note: Seller's $2.375M sits in 2nd position, subordinated

Uses of Funds (Closing)
Cash to Seller	$1,400,000
$1.5M purchase price less $100K deposits
Closing Costs	$50,000
Title, escrow, legal, bank fees
Working Capital Reserve	$50,000
Initial operations, permits, soft costs
Total Uses	$1,500,000

Note: $500K draw line available post-closing for construction/WC

Fraiman Structure
Cash at Closing	$150,000
Fronted from Construction Profit	$300,000
Repaid from Hall construction draws
Remaining Profit (earned)	$50,000–100,000
Fraiman Total Commitment	~$500,000

How Fraiman's Front Works: Dan commits $450K at closing ($150K cash + $300K fronted). The $300K front is repaid from his first construction draws on the $2M Hall build. His total profit on the Hall is $350-400K (15-20% margin), so after repaying his front, he still earns $50-100K cash plus his equity stake. He's essentially financing his own investment with future earnings—skin in the game without tying up all his capital.

Equity Investor Terms (Palm Springs Manor, LLC)

Term	Structure
Minimum Investment	$100,000
Security	Membership interest in Palm Springs Manor, LLC (owns property)
Preferred Return	8% cumulative, paid quarterly from NOI after debt service
Profit Split (after pref)	70/30 (70% to investors pro-rata, 30% to GP/Stewards)
Exit	Sale or refinance; target 3-5 years; no lockup after Year 2
Projected IRR	18-22% (based on $4M→$7.5M value creation)

                Investor Pitch: "Palm Springs Manor is a $4M property that appraises at $7.5M stabilized—that's 87% value creation. $100K buys you into a James Beard-nominated hospitality operation with 8% preferred and 70% of the upside. Fraiman is building it, I'm operating it, and the seller is financing 60% at 5%. Your $100K is secured by real property in one of the country's hottest lifestyle markets."
            

9. Negotiation Principles & Walk-Aways

1.	Don't volunteer terms first	Let the bank propose structure. You don't know what they'll offer.
2.	Lead with income	Frame as income-supported, not asset-backed. W-2 is the story.
3.	Position co-guarantor as strategic	Fraiman is a value-add partner, not a necessity for coverage.
4.	Trade collateral for recourse	Cross-collateralize operating properties to limit personal exposure.
5.	Create competition	Run both tracks. "I'm talking to a few banks" creates urgency.
6.	Know your walk-away	Max 50% declining personal guarantee. No new pledge of Emerson.

Walk-Away Points

❌ Unlimited personal guarantee on full portfolio
❌ New pledge of Emerson Street (primary residence)
❌ Rate above 8.5% on stabilized property
❌ Term less than 5 years

What We're Open to Offering

Full guarantee on Titus standalone—limited exposure, income covers it
Cross-collateral across operating properties—trade collateral for limited recourse
Operating deposits at the bank—relationship deepening
Higher Year 1 rate—in exchange for guarantee burn-down
Debt service reserve—6-12 months held back from proceeds

Guesthouse

Lake Tahoe Campus

Financing Summary for CNB

January 2026 | Confidential

$6.6M

Portfolio Value

1.88×

Combined DSCR

67%

Combined LTV

The Request

Phase 1: Titus House	$1,400,000
Collateral: $2M (70% LTV)	Due Apr 17
Phase 2: Horan House	$3,050,000
Collateral: $4.6M (66% LTV)	Due May 1
Combined	$4,450,000

Guarantor Summary

Net Worth	$7,148,517
Household Income	$526,000/yr
W-2 Income	$348,000/yr
Credit Score	750+

W-2 income alone covers Phase 1 at 2.8×

Cash Flow (Year 1)

Horan House Revenue	$1,362,008
Horan House NOI	$659,299
Titus House Income	$72,474
Combined Debt Service	$389,152
DSCR	1.88×

Why This Works

DMUR zoning—not STR, avoids regulatory risk
Institutional partners—USHG, BIG
Historical comps—Tri Counties underwrote based on VRBO
Opens Feb 1—bookings live, revenue imminent

Guesthouse Flagship Stewards | Trevor Cornwell | trevor@guesthousecompany.com

Guesthouse

California Hospitality Portfolio

Financing Summary for CBC

January 2026 | Confidential

$10.6M

CA Portfolio Value

1.88×

Tahoe DSCR

$7.5M

Palm Springs Stabilized

Lake Tahoe Campus

Titus House	$1,400,000
Value: $2M (70% LTV)	Due Apr 17
Horan House	$3,050,000
Value: $4.6M (66% LTV)	Due May 1
Tahoe Subtotal	$4,450,000

Palm Springs Manor (Expansion)

As-Is Value (Colliers)	$4,000,000
Stabilized Value (Jan 2027)	$7,500,000
Seller Financing (2nd)	$2,375,000
Bank 1st Lien Request	$750,000
Draw-down line	$500,000
Palm Springs LTV	31%

Guarantor Summary

Net Worth	$7,148,517
Household Income	$526,000/yr
W-2 Income	$348,000/yr
Credit Score	750+

Why CBC

All California collateral—regulatory familiarity
DMUR zoning—not STR, avoids risk
Tri Counties validated Horan—VRBO comps
Alan Summers relationship—trusted referral
Platform expansion—two-market portfolio

Seller allows bank first position. $1.25M total on $4M property with co-guarantor (builder).

Guesthouse Flagship Stewards | Trevor Cornwell | trevor@guesthousecompany.com

Guesthouse

Builder-Investor Partnership

Palm Springs Manor Opportunity

For Daniel Fraiman | January 2026

$2M+

Hall Construction Contract

$4M → $7.5M

Value Creation

PS Only

Limited Guarantee

The Opportunity

Guesthouse is acquiring a 19-unit property in Palm Springs for conversion to a boutique hospitality campus. We need a builder we trust for the $2M Hall construction—and we'd rather have you as a partner than just a contractor.

Your Investment	Amount
Cash investment (equity)	$100,000–150,000
Construction profit (deferred)	~$350,000
Total Commitment	~$500,000

~$150K cash outlay; balance earned from construction margin

What You Get

$2M+ Hall construction contract
Equity in property worth $7.5M stabilized
Limited guarantee (Palm Springs only)
15-20% builder margin on construction
Pipeline for future Guesthouse builds
CNB relationship leverage

The Property

Purchase Price	$3,875,000
As-Is Value (Colliers)	$4,000,000
Stabilized Value	$7,500,000
In-Place NOI	$247,000/yr
Monthly Rental Income	$30,700

Construction Scope

Hall Construction (F&B Hub)	$2,000,000
Boarding House (10 keys)	$1,500,000
Flagship House (7 keys)	$2,500,000
Total Construction	$6,000,000

Your investment tied to Hall; future phases available

                The Ask: ~$150K cash (equity stake), your construction profit on the Hall becomes another $350K of investment, co-sign the bank note on Palm Springs only. Your total commitment is ~$500K, most of which you earn from the work.
            

Guesthouse Flagship Stewards | Trevor Cornwell | trevor@guesthousecompany.com