The Real Deal New York

Pebblebrook, Denihan split portfolio of 6 Manhattan hotels

Deal values the properties at a combined $820M
October 20, 2016 02:19PM

Jon Bortz and Brooke Barret

Pebblebrook Hotel Trust and Denihan Hospitality Group have split up their portfolio of six Manhattan hotels in an agreement that values the properties at a combined $820 million.

Pebblebrook, the Bethesda, MD-based real estate investment trust, walked away with the 618-room Manhattan NYC hotel near Madison Square Garden and the 252-key Dumont NYC in Kips Bay, according to a press release issued Thursday.

The two properties were valued at $342.5 million.

“We are actively marketing these two hotels for sale and continue to be encouraged with the interest shown by the investment community, from both domestic and international investors, in high-quality Manhattan real estate,” Pebblebrook CIO Thomas Fisher said in a statement.

Pebblebrook, which owns 31 hotels throughout the country, bought a 49 percent stake in the portfolio for $152 million in 2011.

Denihan, a family firm headquartered in Midtown, now owns 100 percent of the Benjamin near the Waldorf-Astoria, Fifty NYC in Midtown East, Shelburne NYC in Murray Hill and Gardens NYC in Lenox Hill. Hunton & Williams’ Carl Schwartz and Anthony Bonan advised Pebblebrook. – Rich Bockmann