Goldman’s Whitehall fund restructures US$1.42b of hotel debt

NEW YORK CITY A Goldman Sachs fund has restructured US$1.42 billion of debt that had been coming due on a group of hotels known as the Tharaldson and CNL portfolios.

Abu Dhabi Investment Authority will pump US$475 million into the combined 168-property portfolio controlled by Whitehall Real Estate Funds in exchange for a preferred equity stake, The Wall Street Journal reports. Meanwhile, Deutsche Bank AG is refinancing the debt with a US$975 million loan.

Whitehall acquired the Tharaldson portfolio in 2006. The debt also covers 30 hotels acquired in 2007 from CNL Hotels & Resorts Inc.

Most of the debt had been due by April 2012, although a large portion—a senior mortgage worth US$650 million—became delinquent last month.