Hilton Richmond Hotel and Spa in Short Pump. Photo courtesy Tripadvisor
The Hilton Richmond Hotel and Spa in Short Pump, the flagship of Chester-based Shamin Hotels’ empire, may change hands as a result of the COVID-19 pandemic.
According to a complaint filed in Henrico County Circuit Court on Dec. 2, 12042 West Broad Street Holdings LLC, the Bethesda, Maryland-based noteholder on the property, alleges a breach of contract, saying Shamin fell behind in its loan payments beginning in April 2020. Constructed at a cost of $48 million, the 254-room hotel in Short Pump was considered the gem of Shamin’s hotel portfolio when it opened in 2009. Now, Shamin CEO Neil Amin says his company is cooperating with the noteholder to allow them to take control of the hotel through receivership and a possible public auction.
The filing states that Shamin borrowed $45 million from JPMorgan Chase Bank National Association on Oct. 11, 2013. As of Dec. 1, 2020, Shamin owed $46.8 million on the loan, including a principal amount of $40.2 million, $1.18 million in accrued interest, $1.19 million in default interest and more than $127,000 in accrued late fees, according to the filing. The filing also requests that the court appoint Fairfax-based Crescent Hotel Management Services LLC to keep the property open and run it while a foreclosure sale is conducted. The plaintiff states that the property may be worth as little as $26 million.
