Mark Hotel seeks refinancing after thwarting latest foreclosure attempt

The hotel includes the most expensive hotel room in the United States—the penthouse suite, which runs at $75,000 per night.

During the pandemic, the building’s future was uncertain. Its occupancy rate had cratered down to 39%, and it lost its ability to pay down its debt. But by the time the hotel reopened in June, its occupancy hit 55%, and its debt service coverage ratio soared, according to Trepp. It made a deal with its creditors and raised room rates by 20%.

This isn’t the first time Alexico has faced foreclosure at the property. 

In the 2000s the firm was looking to raise money to pay for a $200 million renovation by turning 42 of 160 units in the hotel into co-ops and selling them. But by 2009 it had sold 10 suites for just $16 million, putting the firm in a dire financial situation.

In 2011 Dune Real Estate Partners bought $300 million in debt on the hotel from Anglo Irish Bank for $190 million and filed to foreclose on the loans there that year.

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