Investing » Celebrity Investments Gone SourJay-Z2 of 6The investment: While Jay-Z's business investments have hardly caused the hip-hop mogul 99 problems -- he is unquestionably one of the most successful businessmen in music -- they have caused a few.With huge financial success in touring, apparel and more, Jay-Z's efforts in the hotel business were not met with as much good fortune. His proposed luxury hotel endeavor in New York City, J Hotels, failed to get off the ground.The dive: Jay-Z's company purchased a property in the Chelsea neighborhood in 2007 -- reportedly for a 150,000-square-foot luxury hotel -- but construction was halted in 2008 due to lack of funds caused by the recession. When the company defaulted on the $52 million loan used to purchase the property, the hotel partners eventually handed the property back to the lenders. The parties were also enmeshed in a legal battle over additional costs until settling out of court for undisclosed terms in December 2010.
Investing » Celebrity Investments Gone Sour
The investment: While Jay-Z's business investments have hardly caused the hip-hop mogul 99 problems -- he is unquestionably one of the most successful businessmen in music -- they have caused a few.
With huge financial success in touring, apparel and more, Jay-Z's efforts in the hotel business were not met with as much good fortune. His proposed luxury hotel endeavor in New York City, J Hotels, failed to get off the ground.
The dive: Jay-Z's company purchased a property in the Chelsea neighborhood in 2007 -- reportedly for a 150,000-square-foot luxury hotel -- but construction was halted in 2008 due to lack of funds caused by the recession. When the company defaulted on the $52 million loan used to purchase the property, the hotel partners eventually handed the property back to the lenders. The parties were also enmeshed in a legal battle over additional costs until settling out of court for undisclosed terms in December 2010.
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