Despite its late-night crowds, the Standard Hotel is facing foreclosure. kvelsey reports
Photo: Andrew Lichtenstein/Corbis via Getty Images Even during pandemic times, the Standard Hotel has remained one of the city’s most popular party spots: you may recall that Madonna’s Pride party in the Boom Boom Room was so packed that people ended up peeing in cups because they weren’t able to get to the bathrooms. But despite the late-night crowds, the Standard is facing foreclosure.
The 338-room hotel founded by André Balazs was purchased in 2017 by Gaw Capital, a Hong Kong-based private equity firm led by Goodwin Gaw. Gaw bought the Standard for $340 million, $60 million less than it had been in contract for a few years before, and took out a $170 million acquisition loan from Natixis, a French investment bank that was bullish on hotels at a time when other lenders were pulling back.
Gaw stopped paying its mortgage on the hotel in May 2020 and now owes $187 million, according to a lawsuit filed in federal court by Wells Fargo, who is suing on behalf of the bond holders . Gaw’s loan agreement also has an acceleration clause, according to the Real Deal, which meant that a year after Gaw defaulted, the entire outstanding principal balance of the loan, along with all accrued interest and late charges, were due immediately.
The Standard received a paycheck protection loan earlier in the pandemic and it seems likely that it, like all New York hotels, will continue to struggle for some time . Still, it would be surprising if Gaw Capital just walked away from the Standard. Gaw has more than enough capital — Forbes puts the Gaw family’s net worth at $1.6 billion — and the Standard is a trophy property.
México Últimas Noticias, México Titulares
Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.
Cardi B's New York dream mansion could rival a five-star hotel – insideCardi B home: The singer shared a peek inside her spacious New York mansion with Offset and daughter Kulture Kiari.
Leer más »
2 suspects dead after reported shooting at Cancun Hyatt hotelTwo suspected drug dealers are dead following reports of a shooting at a Hyatt resort in Cancun, Mexico, authorities say.
Leer más »
How Trump’s D.C. Hotel Cashed In On The Jan. 6 RiotSky-high room rates. Record in-room service. Appearances from Trump family members. Here’s a behind-the-scenes look at what was happening inside the Trump hotel on the days surrounding the storming of the Capitol.
Leer más »
How Trump’s D.C. Hotel Cashed In On The Jan. 6 RiotSky-high room rates. Record in-room service. Appearances from Trump family members. Here’s a behind-the-scenes look at what was happening inside the Trump hotel on the days surrounding the storming of the Capitol.
Leer más »
How Trump’s D.C. Hotel Cashed In On The Jan. 6 RiotSky-high room rates. Record in-room service. Appearances from Trump family members. Here’s a behind-the-scenes look at what was happening inside the Trump hotel on the days surrounding the storming of the Capitol.
Leer más »
How Trump’s D.C. Hotel Cashed In On The Jan. 6 RiotSky-high room rates. Record in-room service. Appearances from Trump family members. Here’s a behind-the-scenes look at what was happening inside the Trump hotel on the days surrounding the storming of the Capitol.
Leer más »