CHICAGO — Wells Fargo Bank took control of the 610-room JW Marriott Chicago hotel Friday morning with a winning bid of nearly $251 million during a foreclosure auction.
Orlando-based owner Estein USA hadn’t made a payment on the $203 million loan tied to the property at 151 West Adams St. since last summer, according to the Illinois Foreclosure Listing Service. The amount owed eventually grew to $243 million, and as trustee for investors in the loan, Wells Fargo filed a foreclosure lawsuit last year, and a sheriff’s sale was set for Friday. The bank was the sole bidder on the hotel, which remains open.
The foreclosure is a possible sign of distress for a downtown hospitality industry still struggling to recover from the pandemic. Tourists began filling downtown hotels when warm weather returned, providing much-needed relief to beleaguered owners. But business travelers remain sparse, so the hard times may not be over, and other hotels could also be headed for trouble.
