The Glendale News Press reports developer Rick Caruso and Golden Key Hotel owner Ray Patel have reached an agreement to sell Patel's hotel. Attorneys for both parties revealed the deal during a hearing in a lawsuit Patel has against Caruso over construction issues related to the Americana. So how much is Caruso paying out? It's not known and neither side is talking. Via the GNP: "The amount of the agreement was not disclosed, but in papers filed this week in Los Angeles County Superior Court, Golden Key Hotel owner Ray Patel estimated the value of the 55-room inn at between $15 million and $17 million. Its assessed value is $4.9 million, according to county records." Caruso had previously offered $6 million for the hotel, a price rejected by Patel. Meanwhile, there's another wrinkle here. The hearing, according to the paper, hammers out a settlement in the construction lawsuit, but now Patel's former attorney, who was released on Feb 16th, is speaking out against both men.
"The [construction lawsuit] settlement drew the ire of attorney David Casselman, who had represented Patel in the lawsuit until he was replaced last week.
Casselman alleged that Caruso and Patel 'colluded' to conceal the true value of the legal settlement, shifting money to the real estate deal, thereby reducing the fees he would receive for his more than two years of work on the case."
· Caruso buys Golden Key [Glendale News Press]