|Hotel del Coronado|
Under the terms of the deal, buyout firm Blackstone and the existing owners must pool enough capital to reduce the beachfront hotel's current debt -- including $610 million of commercial mortgage-backed securities and $18 million under its revolver -- to $425 million, according to a report in the Wall Street Journal. Blackstone would contribute $100 million of new capital, and convert into equity a piece of just under $20 million of Del Coronado's mezzanine, the paper said. That debt was supposed to be due at the middle of this month but was extended to Feb. 9. The report said KSL Resorts would continue to manage the property, which is near the North Island Naval Complex. JPMorgan analyst Joseph Greff said he was looking forward "to the final details of this deal as it relates to BEE."