The Holiday Inn Express in Washington D.C.’s Mount Vernon Triangle is at risk of foreclosure. According to the Washington Business Journal, its owner, Birchington LLC, is facing significant debt issues.
On February 8th, Alex Cooper Auctioneers will hold an auction on behalf of SSCHOF II Washington DC LLC due to Birchington’s default on a $49 million loan. The amount has now increased to almost $80 million due to late fees and interest.
Birchington, which has ties to Habte Sequar, previously filed for Chapter 11 bankruptcy protection in February 2023 after a failed loan refinancing attempt. Although they reached a debt restructuring agreement in May and had their bankruptcy case dismissed in June, challenges continued for the company. They are now facing multiple claims from creditors such as Kinsley Construction seeking $5.3 million for hotel construction and Pawnee Leasing Corp demanding repayment of $17,300 for an audio system.
This situation highlights the potential foreclosure faced by Mt.Vernon Triangle’s Holiday Inn Express without mentioning specific organizations or locations.
