Foreclosure Against Hotel Units: Creditor Practices

Summary: An article that compiles the range of aggressive actions taken by creditors against the property of hotel units based on current practice. Specifically, it analyzes the challenges faced by Greek hotel units due to their debts to banking institutions and funds.

In Greece, with its relatively well-developed tourism industry, there are hundreds of hotel units that are struggling to survive the various waves of economic crises, the pandemic, or the consequences of inflation. A significant portion of Greek hotel units consists of buildings and facilities that were realized with the help of bank financing. Business owners sometimes received bank loans (in the form of long-term loan contracts, bond loans, etc.), while other times they leased the hotel units using the institution of financial leasing. But what are the risks they face when confronted by credit or financial institutions? And what are the means available to banks, and now Servicers, for the