The Real Deal New York

Lichtenstein’s Lightstone Group to invest $2B in hotels

Company partnering with Marriott to open four hotels on Manhattan and one in Brooklyn

February 20, 2015 08:10AM

From left: A Moxy hotel by Marriott, David Lichtenstein and Lightstone's hotel project on 36th Street

From left: A Moxy hotel by Marriott, David Lichtenstein and Lightstone’s hotel project on 36th Street

David Lichtenstein’s Lightstone Group is investing $2 billion into the development of hotel properties that will be geared toward younger travelers.

The company will pick out “top-branded” select service properties, Bloomberg reported. Lightstone has partnered with Marriott International to build four Moxy — which are micro, more affordable — hotels in Manhattan and one in Brooklyn, the website reported. Lichtenstein told the website he plans to spend about $1 billion on the Moxy developments in New York and one in Los Angeles. The other $1 billion will be spent on other hotel investments in other parts of the country.

“We spent time evaluating many brands and concluded that Marriott is the best brand partner for our developments,” Lichtenstein told Bloomberg. “Residential has exceeded prior peaks. Industrial has come roaring back. Office has lagged for good reason. Hotels are coming back and coming back strong.”

Lightstone is planning to start construction on one of the hotels — on 36th Street and Seventh Avenue — within 90 days, according to the website. The three others are located on 28th Street, on the Lower East Side and Tribeca. [Bloomberg] — Claire Moses 

  • richjew

    When he starts investing in hotels you know that the bubble is near a peak. Remember Extended Stay anyone.

    • Ryan Serhant

      You know what they say..Fool me once, its ok…Fool me twice, aint so nice..Fool me thrice, you eat dice

    • BH

      fantastic observation

    • Marc

      I love reading all the comments from geniuses on here who profess to know when a bubble is ready to pop. The ones I know toiling day and night shorting markets tend to be lonely, liberal, angry and quite unsuccessful. I’d rather place my money on those with marriages, children and a healthy outlook on life. Like any successful people they will not go through life without their share of losses but the key is that they’re successful but hey, even a broken clock is right twice a day.