Friday, Feb. 22, 2008 | 6:48 p.m.
The Cosmopolitan Resort & Casino, which was facing foreclosure while under construction, has been saved.
Marathon Asset Management, a global hedge fund with offices in New York, has agreed to partner with the Hyatt hotel chain to buy out Cosmopolitan developer and owner Ian Bruce Eichner. The new partners also will invest enough additional equity to finance the remainder of the project amid difficult market conditions.
Hyatt will be managing the Cosmopolitan’s hotel and convention facilities.
Cosmopolitan executives declined to comment.
Marathon, a lender to the Cosmopolitan, owns another Hyatt project under construction in San Antonio.
Eichner had invested a significant amount of money into the Cosmopolitan but lending requirements have tightened in recent months, requiring Eichner and other developers to put up more money. Eichner was negotiating with investors about whether he would simply take on additional partners or be compensated for his stake.
The Cosmopolitan, which features two high-rise towers and about 3,000 rooms, including condo-hotel units, is under construction at the northwest corner of Harmon Road and Las Vegas Boulevard and is expected to open in December 2009.
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