|JLL arranges transaction of iconic InterContinental New York Barclay.|
Friday, 25th April 2014
Source : JLL's Hotels & Hospitality Group
On behalf of InterContinental Hotels Group (IHG), JLL’s Hotels & Hospitality Group announced it arranged the transaction of the historic 685-room InterContinental New York Barclay, located at 111 East 48th Street in Midtown Manhattan, New York; InterContinental Hotels Group retains long-term management contract.
Constellation Barclay Holding US, LLC, an affiliate of Constellation Hotels Holding Limited, acquired an 80 percent interest in the asset for $240 million, which values the Hotel at $300 million prior to refurbishment.
IHG will hold the remaining 20 percent. Together, the joint venture will own and renovate the asset, which is subject to a long-term management contract with IHG.
The JLL Hotels & Hospitality Group was led by Mark Wynne-Smith, Global CEO, Arthur Adler, Managing Director and CEO, Americas, Managing Director Jeffrey Davis and Executive Vice President Gilda Perez-Alvarado.
“The parties of this joint venture seized an incredible opportunity to own and elevate the positioning of an iconic hotel in one of the top global lodging markets,” said Wynne-Smith. “We expect New York to continue its position as the leading market for investments in the United States as a result of its tremendous appeal to both domestic and off-shore investors.”
According to Adler, the InterContinental New York Barclay attracted strong interest from domestic, Middle Eastern and Asian investor groups by virtue of its long-standing reputation in New York, its world-class affiliation with InterContinental Hotels, and its location in one of Manhattan’s strongest lodging sub-markets.