The Westin Book Cadillac hotel is facing foreclosure due to plummeting revenues amid the pandemic, its owner tells Crain's Detroit Business.
The 33-story tower was rehabbed in 2008 for $180 million. According to Crain's, owner John Ferchill is underwater with $77 million in commercial mortgage-backed securities debt that has been delinquent since May. The property is valued at $75 million.
Ferchill says he's been unable to come to an agreement with his lender, Citi Real Estate Funding Inc.
"We are not unique," Ferchill said. "We have tried everything to work with a lender who won't work with us, which quite frankly is a testament to how good of a property we created. They would rather take it for themselves than work it out with the borrower. We have not received one concession."
The property will likely be sold to a new owner.