Editorial: This delay is worth the wait

News-Democrat, Belleville, IL

Published Saturday, May 3, 2008

After years of being saddled with the Collinsville Holiday Inn loan, Illinois taxpayers can't wait to get the hotel sold and off the books. Still, the public can be encouraged by the latest delay.

Illinois Treasurer Alexi Giannoulias is extending the bidding process one week, until May 21. The reason: So many potential buyers are interested, the company handling the auction requested more time to accommodate them. Giannoulias said there have been more than 100 inquiries.

Guess the hotel isn't the loser that owners Gary Fears and B.C. Gitcho made it out to be.

The prospective buyers obviously understand Fears and Gitcho had an unimaginable incentive to paint a bleak financial picture. They only had to make payments on their state loan if they said the hotel made a profit.

The prospective buyers clearly see the potential of a hotel within sight of downtown St. Louis, on a major interstate from Chicago and next to a convention center. Indeed, since the state took over, the hotel is making a profit.

The flurry of interest in the hotel hopefully translates into a good selling price. A formal presentation of the bids is set for May 29.

The sale is not likely to cover all the $32 million in debt the hotel owners left for the taxpayers. But at this point any steps that minimize the loss are appreciated.