Red Roof defaults on $361 million commercial loans

Tue Jun 23, 2009 10:47pm BST
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NEW YORK, June 23 (Reuters) - Red Roof Inn, the discount hotel chain, this month defaulted on $361.4 million in debt backed by 131 of its locations, according to Realpoint, a credit rating company.

Three of the four loans have been transferred to a special servicer, and the fourth will follow, said Realpoint, which learned of the default from the loans' main servicer.

A Red Roof Inn spokeswoman confirmed that there has been a default, but offered no further details.

(Reporting by Al Yoon; Editing by Diane Craft)

 
 
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