The Real Deal New York

New 40-story hotel planned opposite the NoMad

Developer Paul Kanavos picked up site for $100M last year

January 21, 2016 12:35PM
By Katherine Clarke

Paul Kanavos and 1185 Broadway

Paul Kanavos and 1185 Broadway

Hotel Developer Paul Kanavos has filed plans to bring a 146-key hotel to the corner of Broadway and West 28th Street.

Kavanos, the developer of Ritz Carlton in South Florida as well as the St. Regis Resort Temenos Anguilla, nabbed the site last year for $100 million through his firm Flag Luxury Properties.

The deal was financed by a $50 million mortgage from United Overseas Bank Limited New York Agency, the local arm of the Singaporean multinational banking giant, records show.

The new 40-story building, at 1185 Broadway, would comprise a total 153,199 square feet plus 11,190 square feet of commercial space, records show. The man behind the design of Shvo’s 125 Greenwich Street, Rafael Vinoly, is the architect of record for the project, according to YIMBY, which first spotted the plans.

At 580 feet tall, the hotel would be one of the tallest buildings in the immediate area.

If completed, the new hotel would likely compete against the nearby Ace and NoMad hotels for monied travelers.

It would also add to the steady stream of hotel inventory in the pipeline citywide, which is rumored to be putting downward pressure on hotel rates.

The average revenue for an available New York City hotel room fell by 12.9 percent year-over-year in January, according to a recent report, and average occupancy hit just 68 percent, a 4.7 percent annual drop.

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