Loans For W Downtown Came From Georgia’s Largest Bank Failure– Go Figure!
Starwood Hotels & Resorts Worldwide, Inc. announced yesterday that W Atlanta – Downtown Hotel & Residences will continue to operate business as usual despite a foreclosure by the senior lender 2010-1 SFG Venture, LLC., which is a joint venture entity comprised of the FDIC and Square Mile Capital Management, LLC.
A Carefully worded press release announcing that the W will operate even under the foreclosure says this about the Hotel:
A modern, fully integrated lifestyle experience, W Atlanta – Downtown opened in January 2009 and quickly established itself as the local hot spot, host to high profile events, celebrities and trend-setting travelers from around the world.
BULL!– this Hotel foreclosed for a reason. The residences are unsold. However, the hotel itself has seen success in booking rooms. Sources indicate that the entire hotel already has twelve sold out nights for the month of October. The Atlanta Business Chronicle sheds some light on this:
Specialty Finance Group originated an $85 million loan to help develop the W Atlanta-Downtown hotel and residences, a project that started in 2006 and whose revenues and condo sales have been undercut by the recession and slow recovery.
“While we understand that this legal process behind the scenes may create some confusion, W Atlanta – Downtown won’t skip a beat in providing the signature services and unique guest experiences that distinguish W Hotels around the world,” said Tim Dahlen, General Manager of W Atlanta – Downtown.
“Atlanta continues to be an important market for W Hotels, and we are delighted to continue to fly our flag downtown.”
Dahlen said the hotel operations are profitable despite the challenging economy and distracting legal issues.
“Even while opening our doors in the most difficult economic environment imaginable, W Atlanta – Downtown has debuted strong. We’ve enjoyed many weeks of high occupancy, and we’re very proud that we are attracting a greater share of transient business and leisure travelers than our competitors,” said Dahlen.
Dahlen also noted that the hotel’s celebrated nightlife offerings, including BLT Steak and DRINKSHOP, which have “quickly become popular hot spots for local insiders, are expected to continue business as usual.”
W Hotel Downtown
45 Ivan Allen Jr. Blvd
Atlanta, GA 30308
