By Jordi Lippe and Jordi Lippe-McGraw
March 17, 2016
Alamy Stock Photo

New York City’s famous Plaza Hotel was set to go up for auction next month after recent back-and-forth over its ownership, but it has been called off according to Crain's New York. Billionaire brothers David and Simon Reuben, who hold the mortgage on the five-star property, reportedly canceled the foreclosure auction set for April 26 to give the Plaza's majority owner Subrata Roy more time to pay back his debt.

The brothers bought the loan from Bank of China Ltd. when current majority owner Sahara India Pariwar defaulted on it last year. This came after the Indian conglomerate’s owner Subrata Roy was imprisoned in 2014 for defrauding investors, the article states.

The hotel has changed hands several times over its 109-year history. Donald Trump bought the Fifth Avenue property in 1988 and then sold it to a group that included Prince Alwaleed bin-Talal of Saudi Arabia, who then sold it to Israel’s Elad Group. Today, Bin-Talal and hotelier Sant Singh Chatwal hold minority stakes in the entity.

This auction was set to include the sale of The Plaza’s guest rooms, but also the restaurants and retail space, and all will be packaged with the Dream Downtown hotel. The combined mortgages for the New York properties total about $500 million, sources told Bloomberg.