The estate of bankrupt securities firm Lehman Brothers has filed court papers to foreclose on Hawaii's Ritz-Carlton Kapalua resort, continuing the carnage in that state's hotel sector.

Morris Bailey and Dennis Gomes are paying $35 million for Resorts Atlantic City, at a time when gambling revenue is declining and customers are being siphoned off to Pennsylvania venues.

The bank is selling its mortgage on the Viceroy Anguilla to Starwood Capital Group at a hefty discount, the latest example of capitulation by a bank that has nursed a troubled real-estate project for years.

The Dutch company's expansion has yielded disappointing results due to the weak economy, competition and the difficulties of exporting Western shopping concepts to a country steeped in different traditions.

A Jacksonville hotel missed paying its mortgage despite $5 million in help from the Hyatt chain.