The Hilton Hotels has terminated the franchise it had given to the owners of the hotel, Shubh Hotels Pittsburgh LLC. The company spokesperson said that the reason for this was “due to violations of the franchise license agreement.” Jai Lalwani, an associate of Shubh Hotels owner Atul Bisaria Boca Raton, Fla., on the other hand blamed the hotel’s recently fired manager, Fairfax, Va.-based Crescent Hotels & Resorts, for creating this trouble for the owners, saying “Crescent failed the scores and plotted with all.”
This means that the property will no longer be able to carry the Hilton name. This would be a setback for the owners as Hilton is a well known and well respected brand name, and that is always helpful for the success of a hotel. The trouble between the Crescent Hotels and the Shubh Hotels started when the latter accused the former of scheming with the property’s mortgage holder, BlackRock Inc to acquire the property.
The Shubh hotel has been in trouble for the past few years mostly due to non-payment of dues. They had started a renovation project under P J Dick, who walked out due to non-payment of his costs. The people at Shubh Hotels will definitely try to sort things out, but the matter seems closed from the Hilton’s side.