TIER 1 CANDIDATE · PARADISE VALLEY
Ritz-Carlton Paradise Valley
Paradise Valley, AZ
01
● CompleteScreen
/hotel-screen PARADISE VALLEY
T1
Promote to Analyze
Buy Signal score90 / 100
Thesis fit score88 / 100
Asset classificationStalled construction
Next actionPromote to Analyze
Legal & financial distress
Chapter 11 filed 2025-11-04; debtor-in-possession financing approved Q1 2026
First mechanic’s lien recorded 2022-10-21 — 3-year, 14-day distress lead time before bankruptcy
11 mechanic’s liens totaling ~$18.2M still active against parent LLC
Madison Realty Capital recorded notice of default Mar 2025
Operational / development distress
Construction halted Q3 2024; ~70% complete shell, no FF&E installed
Five Star Development sponsor cited cost overruns ~$120M above budget in court filings
02
● CompleteEnrich
/hotel-enrich — primary records, ownership, capital stack
Ownership & Control
Title holder (record)RCPV Holdings LLC
Parent / managing memberFive Star Development
Operator (mgmt agt)Marriott International
Ultimate beneficial ownerJerry Ayoub family (Five Star Development)
Recorder supportDEED-2018-0234411
Debt & Deal Access
Senior loan balance$215M (DIP-adjusted)
Lender / servicerMadison Realty Capital
MaturityIn default — pre-petition Mar 2025
Special servicingYes (DIP financing Q1 2026)
Pressure score94 / 100
Liens, Litigation & Encumbrances
Active mechanic’s liens11 ($18.2M)
UCC filings7 active
Litigation (5yr)14 (construction / payment)
Foreclosure / trustee saleStayed by Ch.11
Encumbrance complexity88 / 100
Recorded documents — Maricopa County
| Doc # | Recording date | Type | Severity | Score | |
|---|---|---|---|---|---|
| 20250659954 | 2025-11-14 | Release | ROUTINE | 5 | View → |
| 20250553823 | 2025-09-25 | Lis Pendens | DISTRESS_HIGH | 90 | View → |
| 20250536427 | 2025-09-17 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20250299448 | 2025-05-23 | Lis Pendens | DISTRESS_HIGH | 90 | View → |
| 20250167745 | 2025-03-27 | Partial Release | FINANCING | 25 | View → |
| 20250123153 | 2025-03-06 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20250029665 | 2025-01-17 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20250000538 | 2025-01-02 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20240639133 | 2024-12-02 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20240621991 | 2024-11-20 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20240607037 | 2024-11-13 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20240586695 | 2024-11-01 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20230656148 | 2023-12-27 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20230656151 | 2023-12-27 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20230130969 | 2023-03-15 | Lien | DISTRESS_MED | 60 | View → |
| 20230043780 | 2023-01-27 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20230043878 | 2023-01-27 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20230044786 | 2023-01-27 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20220908376 | 2022-12-23 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20220908415 | 2022-12-23 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20220791286 | 2022-10-21 | Mechanic Lien | DISTRESS_MED | 60 | View → |
| 20210696031 | 2021-06-24 | Lis Pendens | DISTRESS_HIGH | 90 | View → |
03
● CompleteAnalyze
/hotel-analyze · 5 parallel agents
Deal signal · pursue
PURSUE — distressed asset with clear price-discovery window; DIP lender is motivated and the stalled construction reduces operational entanglement.
Distress
90
Asset
82
Market
78
Ops
91
Thesis
88
Why this could work
- 215-key Ritz-Carlton flag in a top-tier Paradise Valley submarket — irreplaceable land position
- DIP lender (Madison) signals price discovery in 90–180 days; takeout pricing likely 30–40% below replacement
- Construction shell ~70% complete reduces vertical risk and timeline to stabilization
- Marriott pre-stall management agreement may be assumable under §365
Why this could fail
- Construction-defect claims could tail for 3–5 years post-acquisition
- Brand-flag economics on assumption may require capital injection ($20–40M)
- Mechanic’s lien priority litigation could delay clean title delivery
- Cost-to-complete estimates from Five Star are unreliable; budget true-up needed pre-LOI
RiskLevelMitigation
Construction-defect tailHIGHPhase-1 engineering + warranty buyback negotiated pre-LOI
Brand-flag termination costMEDConfirm Marriott assumption economics in 363 sale order
Lien priority disputeHIGHDemand lien-extinguishment via 363 sale free-and-clear
Cost-to-complete overrunMEDIndependent budget review by Hill International pre-LOI
For research and strategy purposes only · not legal, financial, or investment advice · verify with licensed professionals before acting · data fabricated for demo — no actual distressed asset implied.