| The Sheraton Sea Bay Resort and Spa in Hawaii | | | | months of 2008. |
| seems to be facing foreclosure, most of all now that | | | | Buyers would receive a spa and resort with 521 |
| the owner of the resort has defaulted on the hotel's | | | | rooms on around twenty acres of land that was |
| mortgage, yet another sure sign that Hawaii's | | | | owned by the schools in Kamehameha. The resort |
| stressed industry of tourism is continually suffering | | | | also happens to come with three bars and |
| throughout the recession that is going on around the | | | | restaurants, a retail place, a spa, a fantasy pool, a |
| world. | | | | fitness center, two tennis courts and a fitness |
| Kenneth Marcus, who was appointed as | | | | center. |
| commissioner by Ronald Ibarra, the Circuit Court | | | | Starting recently, the notice of the sale of |
| Judge, has already confirmed that the hotel would be | | | | foreclosure was already advertised without any set |
| auctioned off by the end of July of this year. | | | | minimum price for the actual auction. Any interested |
| The owners of Koa Hotel LLC have already defaulted | | | | bidders need to register at a minimum of a week |
| on around $60 million that was remaining within their | | | | before the auction itself and bids must be registered |
| interest, fines and mortgage. Marcus has also stated | | | | with Marcus. Possible bidders also need to sign an |
| that the hotel would currently remain open until | | | | agreement of confidentiality prior to being permitted |
| further notice. As far as hotel operations go, | | | | to see several financial documents. |
| however, nothing is scheduled to change at all, | | | | Then, Marcus will be taking the winning bidder to |
| especially when it comes to outward appearances. | | | | Ibarra's court. Here, more bids will be allowed and |
| When it comes to the terms in the short term run, | | | | Ibarra will be the one to actually approve the bid that |
| business will definitely be performed as usual. | | | | wins. |
| Although Marcus could not state exactly what would | | | | As stated within the property tax records of the |
| occur once the hotel has been sold, it seems that it | | | | county, Koa Hotel currently does not owe back |
| would be likely for somebody to purchase the hotel | | | | taxes whatsoever. In fact, those who hold leases |
| and then close it thereafter. Currently, Koa Hotel is | | | | weren't even in default when it came to payments |
| the property of Brickman Associates, a private | | | | on lease. |
| equity firm based in New York. The major creditor of | | | | The hotel is located on a lot on the oceanfront, but |
| the property would be Lehman Brothers Holdings Inc., | | | | there is no existing beach. This happens to be a huge |
| which has also already filed for complete bankruptcy | | | | problem for the owners of the hotel since it was |
| some time last year. | | | | inconvenient, in the geographical sense, for people |
| The business of the resort has declined among a | | | | who wished to stay longer. |
| wider and more obvious drop in the overall visitors to | | | | This particular sale of hotel foreclosure will most |
| the island of Hawaii ever since the spring of year. | | | | possibly not be the last one in Hawaii during this |
| This year so far, thre are 15% fewer tourists that | | | | economic downturn. |
| have come to Hawaii in comparison to the early | | | | |