Someone’s taking a big hit on this:
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They are just now downgrading bonds that the debtor defaulted on last year?
Steve
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Looks like it. Sounds a bit of a mess that they were trying to tidy up:
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Headlining this topic “SF is dead”…, well, as a descendant of SF immigrants of the gold rush era: Don’t be absurd and pay attention to history.
SF gets overexcited at times. It is part of its genetics and its identity. Gold gets discovered, earthquakes shake things to the ground, fortunes are made and lost, and crazy speculations often run rampant.
Park Hotels & Resorts REIT reads as a high class garbage collection of overpriced hotel properties spun off by Hilton, Marriot, and Hyatt. Bye bye.
df
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We just vacationed in San Francisco two weeks back. We had a great time.
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It seems like there is an opportunity here. These are high class properties that are getting dumped for pennies on the dollar because greedy overleveraged owners can’t afford the financing. If I had an extra $700 million or so I’d be tempted to look into this.
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I was in SF 2 summers ago, and luv’d it. It was bustling, as far from dead as can be possible. So far, SF and Boston r my 2 favorite big cities,
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I have wondered if there isn’t a place for a vertical “U-Store-It” place in one of those abandoned towers. People in the suburbs use them like crazy, and people in cities have even less space to keep all their stuff (channel: George Carlin.)
They already have the elevators, they have the open floor plans which would make chopping it up into boxes trivially cheap, they have loading docks and all the other things that would be needed: air conditioning/heating, etc.
Maybe it wouldn’t be the best and highest use, but it would be something, and not a lot of red tape of the kind you would expect trying to convert them to residential housing.
I had a two bedroom condo in Boston, with just me living there. I thought about turning the back bedroom, the one without a view, into just such a thing for the building residents. Never did, of course, but I guarantee there would have been demand for it.
Many of the houses on my walking route have two or three cars parked in the driveway, because the garage is packed full of stuff, solid, to the door.
My first concern about converting an existing building to storage is the load capacity of the floors, as people will pack those storage units solid, to the door.
Steve
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