Developer AD1 Global Hotels LLC put eight Florida properties using Marriott, Hilton, Hyatt and IHG brands under bankruptcy protection, blaming rising interest rates, Hurricane Nicole and allegedly unreasonable demands by lender HPS Investment Partners LLC, WSJ Pro Bankruptcy reported. The Hollywood, Fla.-based parent company of the hotels isn’t part of the bankruptcy. It plans to seek an equity investor for the properties, and potentially refinance their debt and sell assets. The bankruptcy filing covers eight newly constructed or renovated properties that owe $165 million to HPS Investment Partners, according to a filing Wednesday in the U.S. Bankruptcy Court in Wilmington, Del. AD1’s chief operating officer, Alex Fridzon, said in a declaration in bankruptcy court the portfolio of properties has been valued at $210.5 million to $262 million. AD1’s portfolio has more than 25 properties. Roughly a third, with a total of more than 1,200 rooms, are part of the bankruptcy case.
