Ashkenazy to purchase Marriott East Side for $290M

Morgan Stanley fund bought the hotel in 2005 for $284M

TRD New York /
Dec.December 05, 2014 08:00 AM

Ashkenazy Acquisitions is looking to buy the New York Marriott East Side for $290 million.

The firm is in contract to purchase the 655-room hotel, according to the New York Post, for $443,000 per key.

The Prime Property Fund, managed by Morgan Stanley’s real estate unit, is selling the property, which it bought in 2005 for $284 million. The sellers also spent roughly $56 million on renovations on the 35-story hotel.

The Marriott, located on Lexington between East 48th and East 49th streets, comes cheaper than some other hotels that have been purchased recently. A 99-year lease on the Waldorf Astoria, currently in contract, works out to $1.3 million per room. The Sofitel, which has 398 rooms, went into contract for a total of $273 million, or $686,000 per key.

The pricing is based on cash flow and necessary capital expenditures, the Post reported.

Earlier this fall, Ashkenazy bought two retail buildings near the Port Authority for $40 million. [NYP] — Claire Moses

 
 


Related Articles

arrow_forward_ios
Union Square W Hotel at  201 Park Avenue South (Credit: Wikpedia)

Marriott buys Union Square W Hotel

Indian hotel startup to launch in NYC, LA with $300M US investment

285 Lafayette Street, Ashkenazy Acquisition's Ben Ashkenazy and Kushner Companies' Charles Kushner (Credit: Google Maps and Sasha Maslov for The Real Deal)

Kushner Cos. pays $39M for Soho retail condo, continuing buying spree

Clockwise from left: Ben Ashkenazy, 711 5th Avenue, Wafra CEO Fawaz Al-Mubaraki, and Nightingale Properties' Elie Schwartz (Credit: Google Maps; Wafra)

Ben Ashkenazy is the secret ingredient in Nightingale, Wafra’s Coca-Cola deal

Lyric founders Andrew Kitchell and Joe Fraiman and a Lyric-managed unit in Houston

Startups and hospitality giants are embracing “apartment hotels”

Marriott to enter home-sharing business

After rent hike, Barneys extends credit line

Miami-based firm enters California market with $85.7M Marriott hotel acquistion

arrow_forward_ios