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Bentonville Best Western Lawsuit Settled with InterestLock Icon

2 min read

Whispers told you last month about a foreclosure suit filed against the owners of the Best Western Castlerock in Bentonville.

Beechwood Hospitality of Little Rock, led by Wally Allen and his sons, Blair and Matthew, filed a suit in Benton County Circuit Court alleging that the hotel owners had defaulted on a $1.1 million loan Beechwood had provided to assist the purchase. The Allens had sold the hotel for $4.2 million in September 2016 to Silver Hospitality, led by Janak Patel of Bentonville.

A week after our Whisper, Silver Hospitality took care of its obligation, making the balloon principal payment that had been due March 12, as well as taking care of interest, penalties and attorney fees.

Attorney Bill Watkins of Watkins Boyer Gray & Curry in Rogers represents Silver Hospitality, Janak Patel and loan guarantors Gopalkrishna Patel of Bentonville, Ambarish Patel of Anaheim, California, and Archana Patel of Jonesboro. He emailed Whispers to let us know the issue had been settled but wanted to point out that the Patels had never been in financial straits nor had they ignored the Allens, as the original lawsuit had said.

“My clients had been working with the bank to refinance this loan and pay off the seller for some time prior to maturity,” wrote Watkins, adding that the sellers knew this.

Watkins wrote that the Patels never missed a payment before the maturation of the loan and had sent the Allens a loan approval letter from their bank to show the money would soon be available.

“My clients … were shocked and disappointed to be served with a foreclosure lawsuit with no notice that it was coming, less than thirty days after maturity,” Watkins wrote.

Watkins said the lawsuit merely made the Patels pay extra for attorney and court fees “needlessly.”

“My clients are good and successful business people,” Watkins wrote. “They didn’t get there by neglecting their obligations.”

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