The 390-room hotel in Bethesda is set to be sold at a foreclosure auction Tuesday, according to a report in the Washington Business Journal.
While building ownership may change hands, the hotel will continue operations as usual under its management contract, according to Hyatt Bethesda general manager Anthony Arbeeny.
“Hyatt has a management contract that stays true to form regardless of who purchases it,” Arbeeny told Patch. “The most important thing is [that] the brand is protected through this sale.”
The iconic hotel, located at 7400 Wisconsin Ave. near the entrance to the Bethesda Metro station, is slated to be sold by Tidewater Auctions LLC at a foreclosure auction, the Business Journal reports. According to the report, lenders claim an affiliate of the Meridian Group defaulted on a $140 million loan it took out on the property.
Bruce Lane, executive vice president and co-founder of the Meridian Group that owns the Hyatt, did not return a call for comment Monday.
Tidewater called off a foreclosure auction of the same hotel back in 2010, according to the Business Journal.
That the property will stay on under the Hyatt flag is a boon for Bethesda, said Ginanne Italiano, president of the .
The hotel is deeply involved with the community, and more than 20 years ago launched an annual Goodwill dinner for the needy that’s become a Bethesda holiday tradition.
“They’ve done so much in the community, it’s really important the Hyatt name stays on,” Italiano said.