SAN FRANCISCO — One of San Francisco’s historic hotels, nestled on a famous hilltop, has defaulted on its loan, meaning the property faces foreclosure on its overdue financing, public documents show.
The Huntington Hotel, a nearly century-old residential tower on San Francisco’s lavish Nob Hill, is in default on its mortgage, documents filed Aug. 16 with the San Francisco County Recorder’s Office show.
The defaulted loan totals $56.2 million and was provided by Deutsche Bank’s New York branch, which San Francisco real estate records said is trying to enforce the overdue loan.
The financial woes and mortgage defaults that have gripped the Huntington Hotel are a reminder that the coronavirus outbreak continues to afflict the lodging, travel, restaurant and leisure industries, sometimes in unexpected ways and places.
San Francisco’s economy, in particular, continues to suffer from the aftermath of business closures instituted by state and local government officials in their bid to combat the spread of the deadly virus.
In a strange twist, the amount of financing provided at the time of purchase exceeded what the borrower, a subsidiary of Woodridge Capital, paid for the hotel tower, public filings show.
Los Angeles-based Woodridge Capital bought the 136-room hotel in 2018 for $51.9 million, according to property documents.
Including penalties, late fees and unpaid interest, Deutsche Bank alleges that Woodridge Capital’s subsidiary owes the lender $61.1 million in aggregate, the notice says.
The hotel was originally built in 1924 as the Huntington Apartments. At the time of its construction, the structure was the first steel and brick skyscraper west of the Mississippi River.
The San Francisco tax collector has filed a notice of a tax lien against the property, according to a filing released Sept. 9.
In a new indication that the hotel has fallen on tough times, the accommodation operator says the facility has closed its doors for the time being.
“Nob Hill Spa, Big 4 Restaurant and Huntington Hotel will remain closed until further notice,” reads a post on the hotel’s website home page.
However, it’s currently not certain when — or if — the hotel will open its doors, or if the restaurant or spa will resume operations.
The hotel operator touts the Huntington’s amenities and luxurious surroundings.
“The Huntington Hotel specializes in offering modern conveniences and amenities in a historic space,” the website reads.
The building is close to other similarly famous hotels: Fairmont San Francisco, InterContinental Mark Hopkins and Stanford Court.
“The Huntington Hotel,” according to the building’s website, is “located in the heart of San Francisco’s most exclusive and exciting neighborhood.”