Transwestern Realty Finance Partners has assumed ownership of The Ritz-Carlton, Denver downtown.
The acquisition comes after the recent settlement of a lawsuit between Transwestern and the project’s developer CJS Hotel LLC led by hotelier Charlie Biederman. The lawsuit centered on whether the Chicago lender could foreclose on the hotel. Terms of the pre-trial settlement were not disclosed, but Transwestern issued a statement this afternoon saying it had taken ownership of the project “on a negotiated basis.”
Transwestern filed the suit against CJS Hotel LLC and related entities in 2009, saying CJS hadn’t paid $9 million, plus interest and charges, due on a $20 million mezzanine loan.
Biederman declined to comment.
The 202-room luxury hotel will continue to be managed and operated as a Ritz-Carlton-branded hotel. The new owner, TW Mezz Denver Hotel LLC, is a subsidiary of Transwestern Realty Partners III, a $427 million private equity fund with more than $154 million invested to date.
