For Banks · Special Servicers · Receivers
When the Loan Stops Performing,
the Asset Doesn't Have To.
MSHG is the hospitality operating partner banks call when a hotel goes into receivership. We stabilize the property, protect the flag, restore revenue, and hand the lender a cleaner, more valuable asset than the one they inherited — with court-ready reporting at every step.
72hr
Senior team on-property
10 days
13-week cash forecast to lender
Weekly
Bank reporting cadence
100%
Court-ready documentation
What Receivership Is
A neutral, court-supervised mechanism to protect the lender's collateral
When a hotel loan goes non-performing, the worst thing a bank can do is wait. Cash leaks, brand standards slip, employees vanish, vendors halt service, and the recoverable loan balance erodes by the week. Receivership freezes that decline by placing the property under the operational control of a neutral fiduciary — and MSHG is the hospitality firm that makes that fiduciary's job actually work on the ground.
Court-Appointed Custody
When a hotel borrower defaults, the lender petitions the court to appoint a receiver — a neutral, fiduciary third party — to take operational control of the asset until the loan is resolved, the property is sold, or ownership is restored.
Asset Preservation, Not Foreclosure
Receivership is not foreclosure. It is a stabilization mechanism. The bank does not own the asset — it protects it. MSHG steps in as the operating arm of the receiver to keep the hotel running, revenue flowing, and value intact.
Fiduciary Standard
Every decision is made on behalf of the court and the lender — not the original owner. We operate transparently, document everything, and report on a defined cadence so the bank, court, and counsel always have a clean view of the asset.
The MSHG Receivership Playbook
An eight-phase program — from day-one custody to clean disposition
Every line item below is what your special-asset team would have to invent from scratch. We've already built it, run it, and refined it across distressed assets.
Day-One Stabilization (0–14 Days)
We deploy a senior turnaround team within 72 hours of appointment. Cash controls, payroll continuity, vendor stand-still letters, brand notification, insurance verification, and a full asset condition report — completed before the second weekly bank update.
Cash & Financial Controls
Single signatory account, daily revenue audit, locked-down disbursement protocols, and a 13-week cash-flow forecast handed to the lender within the first 10 days. Every dollar in and out is reconciled and reportable.
Brand & Franchise Compliance
PIP timelines, brand standards audits, QA inspection prep, license maintenance, loyalty-program continuity, and proactive communication with the franchisor. We keep the flag — because losing the flag destroys collateral value.
Physical Asset Protection
Preventive maintenance, life-safety compliance (fire, elevator, pool, ADA), capital-preservation triage, and emergency CapEx with documented ROI. The asset the lender takes back is in better shape than the one they inherited.
Revenue Recovery
Revenue management reset, comp-set repositioning, OTA and direct-channel cleanup, GDS audit, and demand-generation. Most receivership properties see RevPAR stabilization within 60–90 days under MSHG management.
Workforce & Culture Stabilization
We retain the people who matter, replace the people who don't, and stop the silent revenue leak that always accompanies a distressed transition. Payroll, benefits, and labor compliance stay airtight.
Reporting Cadence
Weekly bank package: P&L vs. budget, STR/comp set, occupancy & ADR, cash position, CapEx tracker, brand-compliance status, legal/insurance flags. Monthly executive deck. Court-ready documentation at all times.
Disposition or Restoration
When the lender is ready to sell, refinance, or hand back to the borrower, we deliver a clean, compliant, performing asset with full data-room documentation — maximizing the recoverable value of the loan.
Why Lenders Choose MSHG
We protect the loan, not just the building.
Special-asset officers, workout teams, and lender counsel all have one shared goal: maximize recovery on a loan that has stopped performing. Every part of MSHG's receivership engagement is engineered toward that single outcome.
Full Transparency
Real-time financial visibility through our Client Portal — no surprises. Banks, special-asset officers, and counsel get logins and see exactly what the receiver sees.
Loan Recovery, Not Liquidation
Every action is filtered through one question: "Does this protect or grow the recoverable loan balance?" We don't cut corners — we cut waste.
Court-Ready Documentation
Every decision is timestamped, every disbursement is sourced, every brand notice is filed. If the case goes to motion or sale, the lender's counsel inherits a fully-papered file.
Brand Relationship Protection
We have direct, working relationships with Marriott, Hilton, IHG, Choice, Wyndham, Hyatt, and BWH brand-management teams — and we use them to keep franchise agreements in good standing through the receivership.
Performance Under Pressure
MSHG is a turnaround firm at its core. We don't just hold the line — we actively recover NOI, which directly increases the loan's recoverable value at disposition.
Risk Management
Insurance audits, life-safety reviews, OSHA & labor compliance, ADA exposure mapping. We surface and document the risks the bank inherited — and resolve them before they become liabilities.
Common Questions From Lenders
Frequently Asked
Is MSHG a court-approved receiver?
MSHG operates as the hospitality operating partner to court-appointed receivers, special servicers, and lender counsel. We work alongside qualified receivership firms and law groups, providing the boots-on-the-ground operational expertise that legal receivers cannot deliver themselves.
How fast can MSHG deploy?
A senior team is on-property within 72 hours of engagement. Day-one stabilization, cash controls, and franchisor notification are completed within the first week. The full 13-week cash flow forecast and asset condition report are delivered to the lender within 10 business days.
Will the brand flag survive?
In the vast majority of cases — yes. Most franchisor terminations during receivership happen because nobody is actively communicating with the brand or executing the PIP. We do both. Maintaining the flag is foundational to preserving collateral value, and it's one of the first conversations we have with the franchise team.
What does this cost the bank?
MSHG fees are paid from property cash flow as an approved operating expense of the receivership estate — not directly by the lender. Our fee structure is transparent, court-approvable, and benchmarked against industry standards for distressed-asset operators.
What if the borrower contests the receivership?
We work hand-in-glove with the lender's counsel. Our reporting, controls, and documentation are designed to withstand challenge. We have testified, produced records, and supported motions in contested matters across multiple jurisdictions.
What kinds of properties do you take?
Branded select-service, full-service, extended-stay, and resort assets — typically between 80 and 400 keys. We have experience with Marriott, Hilton, IHG, Choice, Wyndham, Hyatt, and BWH portfolios, plus independents and boutique assets.
Confidential. Direct. Fast.
If a hotel in your portfolio is heading toward receivership,
let's talk before it gets there.
Pre-receivership consultations are complimentary, fully confidential, and routed directly to Matthew Sanscrainte. We'll review the asset, the loan position, and the brand status, and tell you honestly what we'd do — whether we engage or not.