Highgate, Morris Moinian checking out Hotel Carter

Firms among six bidders for former Times Square flophouse

New York /
Apr.April 09, 2014 09:30 AM

A winning bidder in the acquisition of the well-weathered Hotel Carter in Times Square is expected to be selected as soon as next week.

Highgate Hotels and Morris Moinian’s Fortuna Realty were among about six bidders to check out the 600-room property at 250 West 43rd Street, between Seventh and Eighth avenues. One of the offers on the table is for $170 million, the Wall Street Journal reported. Lawrence Wolfe of Eastdil Secured has been marketing the property.

GF Management has been operating the 24-story hotel since it hit the market at the end of last year. Elevating the hotel to a three-star level would cost more than $125 million and involve replacing the air-conditioning systems and elevators, GF’s John Cruz told the Wall Street Journal.

The hotel was named the dirtiest U.S. hotel by travel website TripAdvisor in 2006. About 30 rooms on the fourth floor have since received new Ikea furniture, framed artwork and other upgrades. Occupancy has grown to 74 percent, from 68 percent before GF Management stepped in.

Tran Dinh Truong owned the notorious flophouse from 1997 until he died in 2012, according to the New York Times. Then legal struggles plagued the hotel while Truong’s heirs sorted things out. [WSJ]Mark Maurer


Related Articles

arrow_forward_ios
Atlas Hospitality Managing Member Raj Guru and Vinod Chand with 711 Seventh Avenue (Atlas, Google Maps)
Atlas plans 401-room hotel at 711 Seventh Avenue
Atlas plans 401-room hotel at 711 Seventh Avenue
Lightstone Group CEO David Lichtenstein and 145 Bowery (Lightstone, Google Maps, Moxy Hotels)
Lightstone receives $130M construction loan for new Moxy hotel on LES
Lightstone receives $130M construction loan for new Moxy hotel on LES
Blackstone eyes return to hotel business as real estate fuels strong Q2
Blackstone eyes return to hotel business as real estate fuels strong Q2
Blackstone eyes return to hotel business as real estate fuels strong Q2
How a Singaporean REIT’s mighty US hotel investment sunk
How a Singaporean REIT’s mighty US hotel investment sunk
How a Singaporean REIT’s mighty US hotel investment sunk
525 Lexington Avenue and Ben Ashkenazy (Photos via Google Maps, Getty Images)
Court rules Ashkenazy must pay share of $135M Marriott loan
Court rules Ashkenazy must pay share of $135M Marriott loan
(iStock)
These hotel markets have entered a depression
These hotel markets have entered a depression
Blackstone CEO Stephen Schwarzman and Starwood CEO Barry Sternlicht (Getty)
Here’s an inside look at Extended Stay’s 62K-key portfolio
Here’s an inside look at Extended Stay’s 62K-key portfolio
Sam Chang and 525 Eighth Avenue
Sam Chang unloads Garment District hotel
Sam Chang unloads Garment District hotel
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...