The Real Deal New York

Magna Hospitality sells Midtown hotels for $135M

Middle Eastern investor acquires Holiday Inn, Hampton Inn
By Mark Maurer | October 20, 2014 05:34PM

Rhode Island-based hotel investment and management firm Magna Hospitality Group just sold two Midtown hotels for a total of $135.2 million, according to property records filed with the city today.

An undisclosed Middle Eastern investment firm acquired the properties, the Holiday Inn Express Herald Square at 60 West 36th Street and the Hampton Inn United Nations at 231 East 43rd Street. The deals for the 135-room, 18-story Holiday Inn and the 20-story, 148-room Hampton Inn closed late last month, for $63.3 million and $71.9 million respectively, records show.

Phoenix, Ariz.-based firm Ardent Hotel Management Company is managing both hotels.

Last month, Magna, headed up by Robert Indeglia, acquired a 13-story Hampton Inn near John F. Kennedy International Airport in Jamaica for $41.4 million, as The Real Deal reported. Representatives for Magna declined to comment.

Hotelier Sam Chang of the McSam Group sold both sites to Magna in 2008. He sold the 36th Street site for $16.2 million and the 43rd Street for $24 million, records show.