22 Aug 2003
Schrager files for Chapter 11
Ian Schrager’s Clift Hotel in San Francisco has filed for Chapter 11.
The 373-room hotel is reported to have about $60m in outstanding debt and Clift Holdings, the hotel’s holding company, is seeking a rapid debt refinancing to address the situation.
Under Chapter 11, only a majority of bondholders need to agree a scheme to finalise a refinancing.
The hotel – which is said to have seen bookings badly hit by 11 September, global economic problems and a slump in the dot.com industry – is continuing to operate as normal.
Schrager operates a chain of boutique hotels, with sites in New York, Miami, Los Angeles and London in addition to San Francisco. Details: www.ianschragerhotels.com
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