Palm Beach Gardens hotel lost to foreclosure
A Hilton-branded hotel complex in Palm Beach Gardens was just sold for $31.4 million to satisfy a foreclosure lawsuit.
The suit was first filed in May by U.S. Bank, acting as trustee for Banc of America Commercial Mortgage. It concerns the DoubleTree by Hilton Hotel at 4431 PGA Boulevard, and the $24 million mortgage covering the property that was originally issued in 2006 by Barclays Capital.
The loan helped fund the hotel’s $27.64 million acquisition in 2006 by an affiliate of Thayer Lodging, a hospitality company based in Maryland.
Now, through a deed filed in Palm Beach County, ownership of the hotel has been transferred to BACM 2006-2 Hotel at Palm Beach Gardens, which is managed by U.S. Bank.
Attempts to reach Thayer were unsuccessful by deadline.
The DoubleTree is a three-building property that covers 8 acres of land. It includes 279 guest rooms, a 17,055-square-foot conference center and a pool with cabanas. Reports from the South Florida Business Journal said the hotel didn’t perform well enough to cover its debt payments.