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Hilton San Francisco Union Square – Image Credit Hilton
Park Hotels & Resorts Inc. has finalized the sale of Hilton San Francisco Union Square and Parc 55 San Francisco, following a court-appointed receivership process.
Park Hotels & Resorts Inc. announced the completion of the sale of two San Francisco properties, Hilton San Francisco Union Square and Parc 55 San Francisco, on November 21, 2025. The properties, totalling 2,945 rooms, were sold by a court-appointed receiver.
The sale resulted from a court-ordered receivership initiated in October 2023. At that time, the receiver assumed complete control of the hotels’ operations, and Park Hotels & Resorts no longer held any economic interest in them. The properties were under a $725 million non-recourse CMBS Loan, known as the SF Mortgage Loan.
During the receivership, the financial obligations related to the SF Mortgage Loan, including interest, default interest, and fees, were recorded on Park’s statement of operations. As of October 31, 2025, these obligations totaled $874 million. With the sale, the buyer assumed the SF Mortgage Loan, and the accrued interest and fees associated with it were removed from Park’s consolidated financial statements. This derecognition did not affect the company’s statement of operations.
The completion of this sale allows Park Hotels & Resorts to eliminate legacy financial items from its records that persisted following the transfer of the assets into receivership in 2023. The company continues to focus on its strategic plan, which includes selling non-core assets and investing in return-on-investment projects within its core portfolio.
