Auction, foreclosure for 2 Calif. hotels seen as omen

A public auction and foreclosure are in the works for two hotels in California’s Silicon Valley whose owners defaulted on a $37 million loan. “This is a sign that lenders are losing patience and taking a more proactive approach with their borrowers,” lodging analyst Alan Reay says of the fate of the Hotel Avante in Mountain View and the Wild Palms Hotel in Sunnyvale.