An independently owned hotel in Petersburg will be auctioned off today after poor management landed the property in foreclosure. The 120-room hotel is still open and taking reservations according to the Richmond Times-Dispatch.

Hopefully the auction will place the hotel in the hands of better-skilled operators who can enhance the local economy and provide quality service. Area homeowners can look at this as an opportunity for growth that will make a difference in improving property values.

"In the market for a 120-room hotel? If so, one off Interstate 95 in Petersburg is available -- for the right price.

The independent hotel at 405 E. Washington St. is in foreclosure and will be auctioned off Wednesday by National Commercial Auctioneers.

'It's basically been mismanaged. Obviously, the property is being foreclosed on, so they're not paying their bills,' said Fernando Palacios, regional vice president for Tulsa, Okla.-based National Commercial Auctioneers. 'The property is still open and they're still taking reservations. People are still staying there; it's not like it is closed down or shut down.'

Devasha Hospitality LLC purchased the hotel on Oct. 15, 2004, for $2.5 million.

According to Petersburg real estate records, the 2009 proposed value of the land and building is $2.7 million. There is a $153,093 lien on the property and the building is being auctioned as is."

Read full story.

Also, check out the Progress Index's story about a second Petersburg hotel going to auction today.