By Andrew D. Brosig
Killeen Daily Herald
The long-awaited resolution of the pending foreclosure at the Shilo Inn in Killeen has been reached.
"We've made a deal with the bank, and we're going forward with business as usual," said Shilo General Manager Troy Summerill.
The news broke in July of potential financial problems at the local hotel, when it was announced the Shilo Inn was scheduled to go on the auction block Aug. 3.
Wes Rayborn, senior vice president and general counsel for the Portland, Ore.-based hotel chain, said at the time the company had reached a tentative agreement with its bank on restructuring its loan.
Rayborn described the filing of the foreclosure sale notice with the Bell County clerk's office in Belton as a "technical step to meet federal guidelines" set forth by the Federal Deposit Insurance Corporation.
The Aug. 3 sale was postponed, and a new tentative sale date of Oct. 3 was set. Rayborn said last week the deadline for notification of the sale by the courts had passed and that sale, too, would not happen.
A "set-in-stone, tentative agreement" had been reached with the hotel chain's lenders and was waiting final approval by both parties, Rayborn said Sept. 15.
"We've reached a tentative deal," Rayborn said. "Nothing has been signed yet, but all parties are on board. We're just waiting for paperwork from the bank at this time."
Summerill said Thursday there were no changes planned in the operations of the local hostelry.
He described the foreclosure proceedings as "one of those little snafu kind of things. We've worked on a deal and it's all been cleared up now.
"We'll be here in Killeen for a while," he said. "A long time."
The Shilo Inn opened its doors in March 2007. City officials had long believed a full-service hotel was needed to complement the city conference center, opened in 2002.
At the time of its opening, the Killeen Shilo Inn was the national hotel chain's 45th property.
Dave Miller contributed to this story. Contact Andrew D. Brosig at email@example.com or (254) 501-7469.