Goldman Sachs Group Inc.'s Whitehall family of real-estate funds is struggling with weak performance and potentially big losses on some investments made at the top of the real-estate market.

Whitehall is best known for deals such as buying Rockefeller Center in 1996, but has slashed the value of the equity in one of its funds in half and likely will struggle to make a profit on deals such as its purchase of the Stratosphere, a Las Vegas casino, in 2008 and a string of hotel deals in the past two years.

Wall Street Journal