Four Seasons reportedly in danger of default

Ty Warner, the Beanie Babies billionaire who owns the Four Seasons Hotel New York, is reportedly in danger of defaulting on the 368-room luxury property and is in negotiations with investors to sell it. Warner missed a payment on $185.6 million in mortgage debt on the hotel Jan. 9, sources told Crain’s. The Four Seasons, where room rates start at $1,000 per night, is being used as collateral on a larger debt package that includes three other hotels. The downturn in business and international travel has brought occupancy rates at the hotel down significantly below the 80 percent average of the city at large. Still, the news that Warner might sell near the bottom of the market was surprising to some, particularly because of his personal wealth. “You’d think he could ride through this downturn,” said Sean Hennessy, chief executive of Lodging Investment Advisors. [Crain’s]