Hotel Tower up for sale
Hotel Tower Ltd is inviting proposals for the purchase of the assets of the company pursuant to three debentures issued by the hotel in favour of the Bank of Nova Scotia. In an advertisement in today's Stabroek News, the assets of the company are listed as freehold land and a seventy-eight room hotel at Lots 74-75 Main Street, Georgetown; 45 of the rooms are under renovation or construction. The assets also include movable and immovable property such as 100% ownership in Emerald Tower Ltd, a 167-acre resort on the Madewini Creek. The deadline for prospective investors to submit their expressions of interest is November 22. The notice said potential investors who submit an expression of interest qualify to receive a Request for Proposal and access to the document room which will be opened at the hotel on November 24. They will be advised of the time frame for submission of a formal offer. Access to the documents will be limited to those prospective investors who have signed a letter of confidentiality, paid a registration fee of US$100 or $18,000 and are in receipt of a Request for Proposal. The Bank of Nova Scotia had foreclosed on Hotel Tower Ltd earlier this year and had appointed chartered accountant Christopher Ram as its receiver/manager. The company failed to honour a US$2.3 million outstanding debt which was borrowed under the previous management headed by former chairman Richard Humphrey to carry out extensive repairs. Joint venture partnerships were sought to take the company out of its financial crisis but investors thought the political climate at the time was too unstable to take the risk.
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