Wednesday, June 27, 2007

Are these dirt guys into music?

Being a musician and all that, I have to wonder whether the buyers of the Hyatt Regency Woodfield are into music. According to the story in today's Tribune, the buyer is The Harp Group, a part of the Crescendo Companies.

I think it is fun when companies use "themes" for their entity structures. For instance, I know one opportunistic fund in Chicago that has a common name for its main entity and then types of that common name for its subsidiaries. Example: main company is Fruit, LLC and the lower tier entities are, Pear, LLC, Mango, LLC, Peach, LLC and so on. I don't want to disclose the entity that does this for privacy reasons, but I always liked it.

This actually brings me to a practice tip: try to be consistent in naming your upper and lower tier entities from deal to deal. It makes documentation easier and reminds you of where each entity is in a chain. If you don't understand, let me know and I'll provide examples.