Gramercy Park Hotel owners default on $140M loan

The
owners of the Gramercy Park Hotel at 2 Lexington Avenue on the corner
of 21st Street have defaulted on the property’s $140 million loan,
according to Crain’s. While hotel developer Ian Schrager, along with
real estate gurus Aby Rosen and Michael Fuchs had cultivated the
185-room hotel’s reputation into a high-end hot spot, sources now say
that lender Union Labor Life is marketing the loan. And while the
lender has offered a discount of approximately 10 percent on the loan,
sources say that the hotel owners have incurred significant interest
and penalties on the debt. Rates at the hotel range from $425 per night
to $2,200 per night. [Crain’s]