Hotel Loans: Must Sell

FDIC Auction Involving Georgia Bank Watched for Clarity on Market Prices

All eyes in the hotel investment world are on an ongoing auction by the Federal Deposit Insurance Corp. of hotel loans from a failed Georgia bank to see if the results will influence hotel values and pricing.

The FDIC last week accepted sealed bids on a $416 million portfolio of loans on 60 hotels originated by Atlanta’s Silverton Bank, which the FDIC closed in May. The loans were made on properties ranging from a W hotel in Atlanta to various Hampton Inns, Courtyards by Marriott and Holiday Inns across the country.

Silverton was the sole lender on $162 million of …click here for full article from WSJ.online….

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