Hilton Times Square Permanently Shuts Down
The Hilton Times Square will permanently shut down. The 478-room hotel at 234 West 42nd Street in Manhattan, disclosed its plans for a permanent shutdown in a filing with the New York State Department of Labor Wednesday. The hotel’s 200 employees will be permanently laid off, according to the notice. Some of them had been furloughed since March due to the coronaviurs pandemic. The news was first reported by WSJ.
This is one of the most prominent Manhattan hotels to shut down amid the pandemic, but its troubles had started long before. The Times Square Hilton was already struggling to make payments on its mortgage even before the pandemic halted travel.
The hotel owners, California-based hospitality REIT Sunstone Hotel Investors, havn’t made payments on its $77.2 million mortgage since April, according to the company’s most recent quarterly filing with the U.S. Securities and Exchange Commission. Sunstone also hasn’t made rent payments on its ground lease since March.