by Cheryl Tay
The Government of Singapore Investment Corp (GIC) has submitted a US$1.5 billion (S$1.88 billion) bid for a group of bankrupt US hotels owned by hedge fund Paulson & Co, including the La Quinta Resort & Club in California and Arizona Biltmore Resort & Spa (pictured) in Phoenix.
According to the MSR Resort hotel group, it chose GIC as the "stalking horse" or low bidder for the hotels, after having sought an initial bidder since May. The company added that it also corresponded with possible equity investors for a reorganisation of the hotels, prior to deciding on the GIC offer.
GIC, a sovereign wealth fund managing Singapore's foreign reserves, is also a large investor in US real estate. The fund is a lender to the hotel group and immediately submitted an offer for it right after it filed for bankruptcy.
Paulson acquired the hotel properties in 2011 from Morgan Stanley and after a month, filed them for bankruptcy, indicating plans to reorganise them. One of the hotels, the Doral Golf Resort & Spa in Miami, Florida has already been sold to Donald Trump.
Related Stories:
Jalan Sultan site launched for public tender
GIC gains apparent advantage in legal tussle
Former DBS Land CEO eyes another China devt
More from PropertyGuru:
Jalan Sultan site launched for public tender
GIC gains apparent advantage in legal tussle
Former DBS Land CEO eyes another China devt
Swedish furniture giant to break into hotel industry
