I'm currently considering acquiring two adjacent hotel properties in Colorado with the intention of combining them into a single, larger entity. Preliminary construction estimates for refreshing existing spaces and building out footprints on a couple of buildings are coming in much higher than we expected. It's looking like we are going to need to raise 2-3x as much capital as we initially anticipated, so going beyond just close connections to a wider audience for fundraising.

I'm wondering about the recommended order of operations here. Should we enter into a LOI with the properties, and then try to pitch investors during the due diligence period###-###-#### days)? Or, should we try to secure some of this investor funding before establishing a LOI? A lot of our pitch deck would probably be property/opportunity specific, but it could also translate to different properties if this opportunity gets snapped up. Primarily the data room is what I am thinking about, and I'm assuming investors would want to see specific plans for the specific space vs generalities.

In case dollar amounts matter, we originally anticipated we'd need $1-2 million in cash to secure our loans, but now it's looking like more like $4-6 million to make the deal worth doing.