Deutsche Bank, senior lender to the partially built Cosmopolitan Resort and Casino in Las Vegas, continues to seek partners to operate the 3,000-room resort as it carries out foreclosure proceedings.
Deutsche Bank began the foreclosure process in January after developer 3700 Associates, led by chief executive Ian Bruce Eichner, defaulted on a US$760m construction loan for the condominium-hotel project. General contractor Perini Building Co, a unit of Perini Corp, reached an agreement at that time under which the bank has continued to fund construction work.
The $3.5bn resort is still scheduled to open late next year and the foreclosure process is expected to become final later this month. Potential operators include Global Hyatt Corp, which has invested in the project and still lists the resort on its website as "Grand Hyatt Las Vegas at the Cosmopolitan Resort and Casino."
Hotel operators Hilton Hotels Corporation and Starwood Hotels and Resorts Worldwide, along with various commercial real estate developers, have also reportedly talked with Deutsche Bank about partnering opportunities.
The Cosmopolitan is located on the western side of the Las Vegas Strip between CityCenter, the $9.1bn mixed-use development being built by MGM Mirage, and MGM’s Bellagio resort.
