Sheriff's sale of Yorktowne Hotel canceled

The historic Yorktowne Hotel has again been spared from a sheriff's sale.

The sale scheduled for June 13 has been canceled, according to Rick Cunningham, the hotel's manager.

The hotel's owners believe they have reached, through negotiations, a final resolution to stave off foreclosure, he said.

Sheriff sale of the Yorktowne had already been postponed twice giving owners more time to satisfy PNC Bank.Fred Solomon, PNC spokesman, declined to comment on the matter. He said that as a general rule, PNC does not discuss its customers.

Cunningham said the fact that the sheriff's sale has been canceled this far in advance is a positive sign that hotel operations will continue as normal. He added that he and his staff look forward to continuing their service to the area.

The hotel was first scheduled for sheriff's sale in February after PNC Bank filed papers in late October, saying the owners defaulted on a $4.5 million loan and owe more than $20,000 in late fees. However, an attorney for PNC wrote to the sheriff's office and asked for the delay, resulting in the sale being pushed back to April 12.

The sale date was postponed again until June.

The Yorktowne has suffered through the recession, as did the hotel industry nationwide. But Cunningham has said business has been on the increase in recent months as the community has rallied around the well-known hotel and its two restaurants.

In January, York City Mayor Kim Bracey sent out about 300 letters to York area businesses asking them to use the hotel's overnight accommodations, restaurants and meeting facilities because the hotel is an important downtown draw.

The hotel, which opened in 1925, has served as the hotel of choice for York's famous guests. Then Arkansas Gov. Bill Clinton visited during his first presidential campaign, and Richard Nixon stayed at the hotel while he was vice president. Ray Charles, Johnny Cash and Lucille Ball are among the celebrities to have stopped in as well.

One of York's tallest buildings, the landmark building at 48 E. Market St. is also listed on the National Register of Historic Places.

County records show York Hotel Group paid $5.25 million for the building, which is assessed at $1.97 million, from Susquehanna Pfaltzgraff Services in March, 2007.

According to papers filed at the York County Prothonotary's Office, the total due to the bank is listed as $5.2 million.

JW Marriott hotel in Cherry Creek sold for $73M Read more: JW Marriott hotel in Cherry Creek sold for $73M | Denver Business Journal

DiamondRock Hospitality Co. (NYSE: DRH) has bought the JW Marriott Denver at Cherry Creek from Sage Hospitality Resources for $72.6 million, the company announced Thursday.

The 196-room hotel at 150 Clayton Lane recently completed more than $5 million in upgrades.

It’s Bethesda, Md.,-based DiamondRock’s first hotel in Denver.

“Denver has long been one of our target markets,” CEO Mark Brugger said in a release.

The hotel was built in 2004, and its original owner, developer Charlie Biederman, sold it in 2006 to Denver’s Sage, which has managed the property since 2005 and will continue to do so for its new owner under a renegotiated contract.

Sage CEO Walter Isenberg said the market was right for a sale.

“There’s been a lot of activity in the commercial real estate side, this was a good and fair price and we just thought it was the right time,” he said.

That Sage would continue operating the hotel was not a condition of the sale, but “it was very important,” Isenberg said.

“This is our hometown and this is obviously a premier asset in the city,” he said. “The buyers recognized that we are uniquely qualified to operate that asset.”

While it’s the first DiamondRock property Sage has managed, Isenberg said his company is looking forward to the opportunity to possibly operate more.

DiamondRock, a self-advised real estate investment trust (REIT), owns 25 “premium” hotels.

The hotel upgrades, announced earlier this month, included improvements to the hotel’s 8,400 square feet of meeting space, new carpet and new furniture.

Read more: JW Marriott hotel in Cherry Creek sold for $73M | Denver Business Journal