Lenders who had been threatening to foreclose on the posh Four Seasons Resort and Club Dallas at Las Colinas finally foreclosed on the property and purchased it themselves for $122 million.
Mortgage holders sold the 431-room luxury Irving golf course hotel, conference center and spa at auction Tuesday morning. The foreclosure comes seven months after lenders first posted the 400-acre property for sale after the owners missed payments on the more than $175 million in debt.
BentleyForbes, the previous owner of the foreclosed hotel has been trying to negotiate with the lenders for over 18 months but failed to create a resolution that was agreeable to all of the lenders. While they were able to work out a new loan agreement with some of the lenders, many holders of the securitized debt on the property refused to agree to the proposed modification that would have saved the property from foreclosure. For their part, BentleyForbes has insisted that the foreclosure of the property was only due the tumultuous economy and not due to any incompetence or mistakes on their part.
"BentleyForbes remains certain that its past management efforts and capital investments in the property since originally taking ownership in 2006 have positioned the resort for long-term success," BentleyForbes chief operating officer Tony Manos said in an e-mail. "As the hospitality market recovers from the challenges of the current market realities, the Four Seasons Dallas will be able to fully leverage the extensive improvements to the golf courses, guest rooms, hotel lobby and guest amenities implemented and executed by BentleyForbes on behalf of the property."
The new owners of the hotel have stated that customers will experience no disruptions in service while the company makes its ownership transition.