Sept. 7 (Bloomberg) -- Shubh Hotels Pittsburgh LLC, the owner of Pittsburgh’s largest hotel, filed for bankruptcy protection days after Hilton Hotels Corp. terminated its franchise license agreement.
The Boca Raton, Florida-based company listed assets of as much as $50 million and debt of as much as $100 million in Chapter 11 documents filed today in U.S. Bankruptcy Court in Pittsburgh.
Hilton Hotels terminated a 20-year franchise agreement and pulled its name from the hotel last week, according to the Pittsburgh Tribune-Review. Shubh bought the 713-room hotel in downtown Pittsburgh in 2006 for $28 million.
The 20 largest creditors without collateral backing their claims are owed a total of $27.4 million, according to court papers. BlackRock Financial Management Inc. is listed as the largest unsecured creditor, owed $20 million. Hilton Hotels, owned by New York-based Blackstone Group LP, is owed $4.2 million, court papers show.
The case is In re Shubh Hotels Pittsburgh LLC, 10-26337, U.S. Bankruptcy Court, Western District of Pennsylvania (Pittsburgh).
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