We are delighted to share that Gibbins Advisors has been recognized by The M&A Advisor with the 2026 International M&A Award for Real Estate Deal of the Year, for our work on the Chapter 11 restructuring and sale of Marianas Properties, LLC, owner of the Pacific Star Resort & Spa in Guam.
This was an especially challenging and unusual bankruptcy case.
The approximately 350-room beachfront hotel in Guam's Tumon Bay had been forced to close following the collapse of tourism during COVID-19. A devastating typhoon in 2023 caused tens of millions of dollars in additional damage, leaving the property non-operational and requiring substantial reinvestment.
The Chapter 11 case was filed just hours before a scheduled foreclosure auction.
With limited financing options, a geographically constrained buyer market, and relatively few precedents for complex Chapter 11 restructurings in Guam, the team faced significant obstacles.
Through a carefully managed restructuring and sale process, we achieved an exceptional outcome:
Full repayment of the secured lender's ~$30+ million loan, including interest
100% recovery for unsecured creditors with valid claims, also with interest
A successful sale to a new owner with plans to redevelop and reopen the property
An efficient liquidation process that avoided the costs of a traditional sale broker and a liquidating trustee
Beyond the financial recoveries, the transaction preserved the opportunity to revitalize an important tourism asset and contribute to Guam's local economy.
We are particularly proud of the collaborative effort that made this possible. Our thanks and congratulations to Dentons, who served as bankruptcy counsel, and the Law Offices of Minakshi V. Hemlani P.C., who served as local Guam counsel. Their expertise and partnership were instrumental in navigating this complex transaction.
