Fairmont San Jose Files for Bankruptcy Amid Hospitality Downturn

The owner of Fairmont San Jose, the luxury hotel in Silicon Valley, filed for bankruptcy Friday amid an ongoing downturn in the hospitality sector driven by the coronavirus pandemic.

FMT SJ LLC filed for Chapter 11 in Delaware, listing assets of as much as $1 million and liabilities of $100 million to $500 million, according to the bankruptcy petition. Accor/Fairmont Hotel Resources, which owns the luxury hotel brand, has two disputed claims totaling nearly $3.5 million against the debtor, according to court papers.

The hotel has an estimated 200 to 999 creditors, and expects that funds will be ...