Budget-stay kingpin Sam Chang planning 25-story Garment District hotel

He bought West 39th Street site in January for $22M

TRD New York /
Aug.August 17, 2015 03:02 PM

Sam Chang plans to build a 25-story, 175-key hotel on a Garment District development site where he began evicting manufacturing tenants earlier this year.

The veteran hotelier filed a permit application Monday to build a nearly 60,000-square-foot hotel at 338 West 39th Street, near Ninth Avenue. He bought the 12-story factory building on the site in January for $22.4 million, records show.

The application lists Barone Management, developer of the Dream Hotel in Long Island City, as a partner. Chang and Barone, headed by Scott Barone, have partnered on several projects in the past.

Roughly 30 hotels have popped up in the Garment District over the past decade as manufacturing businesses have left the area, and possibly no other developer has cashed in more on the demand for budget-rate rooms than Chang’s Great Neck-based McSam Hotel Group.

He currently has a handful of sites under development, including a 35-story Holiday Inn at the corner of Eighth Avenue and 39th Street, a 252-room hotel at 326 West 37th Street and a 406-key project at 334 West 36th Street, a site he bought for $50.8 million.

Related Articles

Rendering of the Staybridge Suites at 38-59 11th Street

Long Island City hotel project moves forward with construction loan

Heritage Equity Partners’ Toby Moskovits, Benefit Street Partners real estate managing director Micah Goodman, and the Williamsburg Hotel at 96 Wythe Avenue (Credit: Google Maps)

Toby Moskovits’ Williamsburg Hotel is headed for receivership following $68M loan default

461 West 34th Street with Marx Development Group's David Marx (Credit: Google Maps)

David Marx lands $202M refi for Hudson Yards hotel

30 West 31st Street and 52 West 36th Street (Credit: Google Maps)

South Korean firm snaps up two Midtown hotels for $137M

Brookfield Property Group CEO Brian Kingston and 652 11th Avenue (Credit: Google Maps)

Brookfield drops $83M on Hell’s Kitchen hotel

Sam Chang and 40 West 45th Street (Credit: Google Maps and iStock)

Sam Chang can now purchase 160 elite racing pigeons

Mensur Cekic, Hudson Yards’ director of residences

From private tutors to meditation sessions, inside NYC’s new amenities battle

Sam Chang with 62 Mulberry Street in Manhattan and 37-30 Review Avenue in Long Island City (Credit: Google Maps)

Here’s what the $10M-$20M NYC investment sales market looked like last week