X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

BETHESDA, MD-The lender of a $140-million mortgage for the Hyatt Regency Bethesda postponed the auction of the property on Friday in the hopes of coming to an agreement over a workout with the former owner, the Meridian Group, according to the Washington Post.

The postponement bodes well for the lender at least, which stood to take a bath on the auction even if the best-case scenario materialized. In short, the numbers behind this loan illustrate a deal that closed at a price point that the market will simply not support today. One close comp to the Hyatt Regency Bethesda is the nearby Doubletree, which traded at roughly $265,000 per key several months ago. Even if the Hyatt Regency Bethesda could fetch $300,000 per key at the auction, it would still come in under the note of $140 million.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt
Live Chat

Copyright © 2022 ALM Media Properties, LLC. All Rights Reserved.