Yellowstone Files Pre-Foreclosure at Times Square Hotel Over $45M Loan

Yellowstone Real Estate Investments is cracking the whip on a hotel near Times Square.

Yellowstone, through the entity YS West 47 Lender, has started foreclosure proceedings against Premier Hotels, an entity tied to Paramdeep Singh, for its Hotel @ Times Square at 59 West 46th Street in Midtown, according to a filing last week in New York State Supreme Court.

The filing claims that Singh defaulted on a $44.5 million loan for the property, which Yellowstone originated in February 2023 when Singh was facing another pre-foreclosure action over a previous $37 million loan, according to PincusCo, which first reported the news.

A spokesperson for Yellowstone did not immediately respond to a request for comment, while Singh could not be reached for comment.

Singh bought the 213-key hotel between Fifth Avenue and Avenue of the Americas in February 2022 from Apple Core Hotels for $59.5 million, property records show.

Less than a year after the purchase, Singh’s Premier Hotels fell behind on its debt payments, and the 12-story hotel became a migrant shelter, Crain’s New York Business reported.

The hotel, which used to be a Super 8 motel under Apple Core’s ownership, was set to be auctioned off in January 2023, before Yellowstone stepped in with the $44.5 million refinancing loan the next month, PincusCo reported. However, nearly a year later, in February 2024, Premier failed to pay off the loan after it reached maturity.

And this isn’t Singh’s only potential foreclosure at a Manhattan hotel. A block west, the landlord is facing foreclosure over a $16.8 million loan at Hotel 46 Times Square at 129 West 46th Street, which Singh bought in August 2019 for $24 million, records show.

Meanwhile, Yellowstone has honed in on “troubled properties” recently, as Yellowstone CEO Isaac Hera told Commercial Observer in March 2024 that the private equity firm views “problems as challenges and opportunities waiting to be seized.”

The firm has also closed a number of high-profile deals in recent years, including for the New Yorker Hotel, which it picked up a $106 million note from M&T Bank for in 2023, as CO previously reported.

Isabelle Durso can be reached at idurso@commercialobserver.com.