Lenders agree to cancel Vegas Hard Rock foreclosure auction

LAS VEGAS A foreclosure auction for Hard Rock Hotel & Casino Las Vegas that had been scheduled for today has been cancelled after a group of lenders reached an agreement with the property.

The 1,500-key resort, which is majority-owned by Credit Suisse and minority-owned and managed by Morgans Hotel Group, has agreed to undergo unspecified changes to allow it to meet upcoming debt obligations, according to Jeff Silver, an attorney representing primary lender NorthStar Realty Finance Corp.

“If that means certain management changes… those things will be worked out between the borrower and the lenders,” Silver tells Las Vegas Review-Journal.

On Wednesday, US$1.25 billion in debt was scheduled to mature. Morgans has declined to comment on the company’s plans to restructure to extend the debt or on the lender deal.