Facing Takeover by Blackstone, Hotel Owner Eagle Hires Restructuring Exec – Deal Journal – WSJ

Facing Takeover by Blackstone, Hotel Owner Eagle Hires Restructuring Exec – Deal Journal – WSJ.

Nader Nazemi
Eagle Hospitality, the owner of 13 upscale U.S. hotels, has hired a chief restructuring officer to help it study its options in advance of its $606 million of debt coming due in September.
The looming debt maturity is particularly challenging for Eagle and its owner, AREA Property Partners, because private-equity titan Blackstone Group bought Eagle’s mortgage at a discount last month. Given that Eagle’s hotels most likely are worth less than the mortgage amount, it is possible that Blackstone will seek to take over the hotels if Eagle defaults, according to people familiar with the matter.
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