Whitehall saves Fleet Street with 11th-hour loan payment

Goldman Sachs’ Whitehall has saved Fleet Street Finance 1 from the jaws of enforcement after repaying the £101.3m Queens Moat Houses loan on the very date of maturity, 23 February.

Servicer Capita had lined up KPMG to evaluate enforcement options. The leverage on the debt didn’t make it very tough to refinance, but one observer said there was a perception that Whitehall was being “picky” about terms.

The loan, secured by 14 UK hotels, was extended when it came due last February. But note holders refused to extend the loan recently and the sponsor, servicer and note holders failed to agree a loan restructuring.