SIMI VALLEY : Government Tries to Sell Radisson Hotel
The Radisson Hotel in Simi Valley is now in the hands of the federal government because its owner, County Bank of Santa Barbara, has been declared insolvent, officials said Friday.
The bank has been in federal conservatorship since March 27, said Kevin Shields, a spokesman for the federal Resolution Trust Corp.’s Western Division office in Denver. The RTC was established by the federal government in 1989 to oversee the sale of savings and loan institutions that have been taken over by the government because of massive debts.
Shields said one of the agency’s first priorities is to sell off some of County Bank’s assets, which include the Radisson. The bank took control of the hotel in 1988 after its owner, Mir Kazem Kashani, filed for Chapter 11 bankruptcy protection.
The bank in turn was ordered by a federal judge to sell the hotel, which has been on the market for several months at a price of $21 million. The hotel is located in the 900 block of Enchanted Way.
Now that the RTC has taken control of County Bank, it also assumes responsibility for the sale of the hotel.
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