The Westin O’Hare is back on the market after the collapse of a second deal to sell the 525-room hotel, suggesting that investors remain wary of the airport hotel market even as they bid up prices on downtown properties.
Investors will have a choice between the Westin, 6100 N. River Road, and the nearby 362-room Renaissance Chicago O’Hare Suites Hotel, which has also been put up for sale, according to people familiar with the properties.
Both properties are considered distressed, with the Westin seized by a loan servicer in 2010 and the Renaissance expected to sell for less than the $32 million owed on the hotel. The loan is held by an affiliate of Lone Star Funds, a Dallas-based investor that took over the loan from original lender Anglo Irish Bank Corp.
