Business

Lenders file foreclosure notice against Hard Rock Hotel

By Chris Sieroty
LAS VEGAS REVIEW-JOURNAL
Posted: Feb. 1, 2011 | 3:38 p.m.

A group of lenders has filed a notice of foreclosure against the struggling Hard Rock Hotel.

The notice means the lending group, NRFC HRH Holdings LLC, has the option to acquire the hotel-casino or sell its interest in the property to the highest bidder in a public auction scheduled for 1 p.m. PST on Monday.

NFRC HRH Holdings controls a piece of the $1.36 billion loan used to acquire and renovate the Hard Rock Hotel at 4455 Paradise Road. A joint venture including Morgans Hotel Group and DLJ Merchant Banking Partners bought the Hard Rock Hotel in 2007.

Messages left with a Hard Rock spokeswoman were not returned. The Hard Rock Hotel was built in 1995 and completed a $750 million renovation and expansion less than a year ago.

Global Gaming & Hospitality LLC with offices in New York and Las Vegas is advising the lenders in the foreclosing proceedings. The company declined to comment on the foreclosure auction.

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  1. Green Dragon Regular Feb. 1, 2011 | 8:37 p.m. Report Abuse

    @Greg.Hamilton-

    Um, yes it is. And it's rocking...

  2. dirtroader Feb. 1, 2011 | 7:47 p.m. Report Abuse

    The Joint used to be the best small venue in the country....everyone from Aerosmith to the Cure to Neil Young to Alanis to the Sex Pistols played there. So what did they do? Built an oversized overpriced "new Joint" that hasn't booked any of the old big acts since opening. The "old Joint" was replaced by another unused gaming area and bar. I got lost walking around back there. They are in the process of ripping out Wasted Space...for a sports book. They have women who's other jobs including working at Cheatah's swinging on poles in the gaming area. It's just sad. Strippers on poles over half filled gaming tables. That pool party....Rehab....was an abysmal cess pool of a mess. Now they have an ovepriced clothing store, lingere store, jewelery store, and tatoo parlor in the hallway in from the parking deck. Really cool, guys. Really cool; crammed in as an after thought. Not impressed. The biggest rip-off was the moving of the Fetish and Fantasy Ball there for the past 2 years. What was once a cool Vegas tradition is now so watered down and subject to the HR manhandling it's just horrible; I stood in line almost 2 hours just to get in 2 years ago; never again. RIP, Hard Rock Casino!

  3. VegasDude2010 Feb. 1, 2011 | 7:06 p.m. Report Abuse

    @hamisch - besides being a horrible manager, the person you referred to was also a user - one of his crack ho's died in his apartment - he was doomed to fail, he just expedited the process.

  4. hamisch Feb. 1, 2011 | 5:36 p.m. Report Abuse

    DOes this give us any indication as to why the President of the HArd Rock shot himself?

  5. bone Feb. 1, 2011 | 5:30 p.m. Report Abuse

    Maybe the lenders were smart, and will take the property for cheap. Who knows on the specifics of the Hard Rock's books.

  6. tigerm Feb. 1, 2011 | 5:26 p.m. Report Abuse

    The Hard Rock has been struggling for a while. It was once the hang-out of hipsters, but its small size and off-strip location were problems.
    The final nail in the HRH's long term prospects has been the Cosmopolitan opening. The crowd that once went to the HRH is now at the Cosmopolitan. The Cosmopolitan is now in fierce competition with The Joint for live music-which was HRH best feature.
    The Cosmopolitan has free music venues, more to do and better located. Personally I would not touch the HRH right now unless the price was under $300 million. It needs a lot of remodelling to compete with Cosmo.

  7. The Truth Detector Feb. 1, 2011 | 5:16 p.m. Report Abuse

    Oh my. The investors in the Hard Rock don't see a future in trippin' big breasted tramps losing fake eyelashes in an overcrowded pool whilst intoxicated, steroid infected gents urinate freely in said pool... on national TV? While management looks on? PARTYAAAAY ON, Vegas!

    Good bye, Hard Rock. Only your fleas will weep.

  8. vegaslee Feb. 1, 2011 | 4:46 p.m. Report Abuse

    CindyH, this is private sector and nothing even clost to a hostile take over. It is a foreclosure because the owners of the Hardrock can not pay on their property loans.

  9. CindyH Feb. 1, 2011 | 4:44 p.m. Report Abuse

    Isn't that called a hostile takeover? I've seen it happen in the private sector in order to boot out management and put your own in. :-)

  10. Greg.Hamilton Feb. 1, 2011 | 4:06 p.m. Report Abuse

    Is Cosmo still open?

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