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Major West Coast hotels face foreclosures and ownership shake-ups amid debt pressures

Higher finance costs and weak urban demand fuel a wave of distressed sales
San Francisco's Parc 55 is on the verge of emerging from receivership and into new ownership. (Ashton Bray, CoStar)
San Francisco's Parc 55 is on the verge of emerging from receivership and into new ownership. (Ashton Bray, CoStar)
CoStar Analytics
September 8, 2025 | 5:09 P.M.

The U.S. hotel sector is facing an uptick in distress, with several high-profile properties in key markets changing hands through foreclosure, deed-in-lieu transfers and other lender-driven actions.

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News | Major West Coast hotels face foreclosures and ownership shake-ups amid debt pressures