Eagle Hospitality Properties Trust, Inc. Holds Meeting With the Federal Reserve Bank of New York
Request restructuring of loan for Eagle's hotel properties
PURCHASE, N.Y., April 2, 2012 /PRNewswire/ -- Representatives of Eagle Hospitality Properties Trust, Inc. ("Eagle") announced today that the Federal Reserve Bank of New York ("FRBNY") had granted them a meeting regarding their request to restructure a portfolio of commercial real estate loans secured by Eagle's hotel properties and related assets. At the meeting, a possible means of restructuring was discussed between FRBNY and Eagle. The loans, which mature in September 2012, were acquired by FRBNY from Bear Stearns as part of the United States government's acquisition of certain Bear Stearns' assets in JPMorgan Chase's takeover of Bear Stearns in 2008.
A restructuring of the loans could be beneficial for all the loan parties and to third parties, including investors and hotel workers, whose livelihood and investments are tied to the successful operation of the underlying hotel properties.
While Eagle was encouraged by its discussions with FRBNY, there is no restructuring agreement in place. Therefore, Eagle, working with the Business Solutions & Governance Department at Dewey & LeBoeuf, is simultaneously exploring all available alternatives and strategies to restructure the loans, including a potential chapter 11 bankruptcy case. It remains Eagle's hopes that all litigation scenarios will be avoided.
Certain information relating to Eagle can be found on its website at www.eaglehospitality.com.
SOURCE Eagle Hospitality Properties Trust, Inc.
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article