Qatar-backed hotel firm buys Montage Beverly Hills in record deal

On a per-key basis, deal is one of the biggest hotel transactions in US history

Dec.December 24, 2019 12:30 PM
The Beverly Hills Montage at 225 N. Canon Drive

The Beverly Hills Montage at 225 N. Canon Drive

Qatar-backed hotel firm Maybourne Hotel Group has added the exclusive Montage Beverly Hills hotel to its portfolio, in a deal that values the 201-key property at over $400 million.

Alan Reay, president of Atlas Hospitality Group, told The Real Deal that the deal is a record breaker in California, with rooms at the luxury resort now valued at $2 million.

The Montage sale beat out the previous record of $1.7 million per room back in 2015 when L.A. businessman David Geffen sold the 47-room Malibu Beach Inn for $79.9 million to the Mani Brothers, according to Reay.

Maybourne – which owns London luxury hotels Claridge’s, the Connaught and the Berkeley – announced the Montage Beverly Hills acquisition on Saturday, according to Bloomberg, which first reported the sale. The seller was Ohana Real Estate Investors, which developed the hotel back in 2008.

Financial terms were not disclosed, and Maybourne and Ohana both declined to comment.

The deal is the first in the U.S. for London-based Maybourne, which appears to be backed by one of the richest families on earth. Back in 2015, the billionaire Barclay brothers sold a 64 percent stake in Maybourne to Constellation Hotels, which has been linked to former Qatari prime minister Sheikh Hamad bin Jassim Al Thani (better known as HBJ), according to Bloomberg.

L.A.-based Ohana, owned by eBay founder Pierre Omidyar, owns several luxury resorts across the country, including the Montage Laguna Beach, a 68-room luxury boutique in St. Helena in Napa Valley and the Montage Deer Valley ski resort in Utah. The firm also has a stake in the San Vicente Bungalows in West Hollywood, a private membership club and luxury boutique hotel that opened last year.

The Montage is located in Beverly Hills’ Golden Triangle neighborhood. It features a 20,000-square-foot spa and rooftop pool that overlooks Rodeo Drive. Rooms on weekends can cost up to $10,000 a night.

Related Articles

Clockwise from top left: 162 West 13th Street, 325 Avenue Y in Brooklyn, 1281 Viele Avenue in the Bronx (Credit: Google Maps)

Here’s what the $10M-$30M NYC investment sales market looked like last week

The Black Rock bulding at 51 West 52nd Street and Viacom CEO Bob Bakish (Credit: Google Maps, Getty Images)

The price is right? CBS asking more than $1B for Sixth Ave HQ

FM Capital's David Brecher and LIVWRK's Asher Abehsera with 160 Van Brunt (Credit: Google Maps)

Red Hook home of Tesla showroom up for sale

Clockwise from top left: 255 East 18th Street, 27-34 Jackson Avenue, 925 Prospect Place, 343 East 17th Street and 311 First Avenue (Credit: Google Maps)

Gramercy Park dev site leads New York’s mid-market investment sales

Lauren Sanchez and Jeff Bezos with the property at 1441 Angelo Drive (Credit: Getty Images and Redfin)

A $90 million patch of dirt: A look at Jeff Bezos’ other record LA deal last week

Infinity Real Estate's Steve Kassin and 1715 East 13th Street (Credit: Infinity Real Estate)

South Brooklyn mixed-use shopping portfolio trades for $165M

LA — not Manhattan — topped US investment sales in 2019

LA — not Manhattan — topped US investment sales in 2019

Jeff Bezos buys David Geffen’s Beverly Hills estate for record $165M

Jeff Bezos buys David Geffen’s Beverly Hills estate for record $165M