Respected hotel everyone was in debt to (8)
I believe the answer is:
hallowed
'respected' is the definition.
(I've seen this before)
'hotel everyone was in debt to' is the wordplay.
'hotel' becomes 'h' (phonetic alphabet: alpha, bravo, charlie etc.).
'everyone' becomes 'all' (all people).
'was in debt to' becomes 'owed' (I've seen this before).
'h'+'all'+'owed'='HALLOWED'
(Other definitions for hallowed that I've seen before include "Consecrated, holy" , "Honoured as holy like 1 Down" , "Honoured as holy, having lewd halo" , "Held holy" , "Respected" .)