|By Roger Bull, The Florida Times-Union,
JacksonvilleMcClatchy-Tribune Regional News
March 15, 2013--Hyatt Regency Jacksonville Riverfront is going back to the lenders who are owed $195 million. Because no one else bid for it at Wednesday's foreclosure auction, the 963-room hotel in downtown Jacksonville will be transferred to a group of lenders who won the judgment in 2011.
But Dan King, manager of the hotel, said the change in ownership won't affect operations because Hyatt has a long-term contract to manage it.
"We run the hotel," he said. "Whether it's owned by the previous owners or the new owner, it operates under the standards of Hyatt."
James Riley of Rogers Towers law firm in Jacksonville represents the plaintiffs led by U.S. Bank.
He said the current owner, Oxford Jacksonville Riverfront Hotel, has 10 days to redeem the property by paying the $195 million. If it doesn't, the clerk of court will issue a certificate of title to the U.S. Bank group.
He said he didn't know what the bank's plans for the hotel were.
The hotel opened as an Adam's Mark in 2001. Oxford Jacksonville Riverfront Hotel, a partnership led by Chartres Lodging Group LLC of San Francisco, bought it in 2005 for $67 million and renamed it Hyatt Regency Jacksonville Riverfront.
But it fell behind on its $150 million mortgage, the lenders filed a foreclosure lawsuit and in 2011 were awarded $195 million, including $45 million in interest and other fees.
Roger Bull: (904) 359-4296
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