Oklahoma City developer reviving shuttered Martinique Hotel

Phased reopening for Greeley Square property could begin next month

New York /
Nov.November 15, 2021 04:00 PM

49 W 32nd St (hilton.com)

Left for dead during the pandemic, the Martinique Hotel is suddenly receiving new life from an unexpected buyer.

Burnett Equity, a developer based in Oklahoma City, purchased the shuttered hotel’s leasehold for $55 million last week, according to the New York Post. The deal will allow the hotel to reopen in the coming months.

According to the Post, the boutique Greeley Square property could begin to reopen as soon as next month. The hotel will carry the Curio Collection by Hilton brand, the same branding it held when it was forced to close amid the pandemic.

Exterior work on the hotel at 49 West 32nd Street could take between 12 and 18 months to complete, the Post reports. and Burnett is expected to spend another $60 million on renovations.

Nevertheless, the Martinique’s percolating reopening is miraculous in of itself. Operator Herald Hotel Associates filed for bankruptcy in September 2020, owing between $10 million and $50 million. The hotel laid off its 123 employees as of March 18.

The mortgage on the property fell into foreclosure in late 2020 when the leaseholder of the property died, the Post reports. Marcus & Millichap were tasked with marketing the bankrupt leasehold by the landowner, a private investor from Florida.

The leasehold was expected to be sold for between $70 million and $75 million. But the costly facade restoration and the difficulty in financing the contract resulted in an adjustment.

Despite ongoing struggles in the hospitality industry, a slew of of New York City hotels have reopened in recent weeks on the heels of a law requiring them to reopen by Nov. 1 or pay severance to out-of-work hotel employees. The Omni Berkshire Place, Grand Hyatt near Grand Central and Hilton Midtown on Sixth Avenue are among those that recently announced plans to reopen their doors.

[NYP] — Holden Walter-Warner





    Related Articles

    arrow_forward_ios
    No Joke: Pete Davidson (left) and Colin Jost just purchased a Staten Island Ferry boat. (Getty)
    Floating real estate: Colin Jost, Pete Davidson buy Staten Island Ferry boat
    Floating real estate: Colin Jost, Pete Davidson buy Staten Island Ferry boat
    Vicky Ward (CNN)
    Vicky Ward breaks down New York State’s Trump investigation
    Vicky Ward breaks down New York State’s Trump investigation
    Lloyd's of London headquarters at Lime Street (Lloyd's of London/CC BY 2.5 - via Wikimedia Commons, iStock)
    Lloyd’s of London may exit “Inside Out” home after three decades
    Lloyd’s of London may exit “Inside Out” home after three decades
    (iStock/Illustration by Kevin Rebong for The Real Deal)
    NYC investment sales hit multi-year peak to end 2021
    NYC investment sales hit multi-year peak to end 2021
    Tax assessments rise 9%, signaling higher bills for landlords
    Tax assessments rise 9%, signaling higher bills for landlords
    Tax assessments rise 9%, signaling higher bills for landlords
    From left: Ryan Johnson and Jeff Berens, co-founders of Culdesac, in front of a rendering of Culdesac Tempe (Culdesac, iStock)
    Startup that wants to build car-free cities raises $30M Series A
    Startup that wants to build car-free cities raises $30M Series A
    From left: Stephen Schwarzman, chairman, Blackstone; Barry Sternlicht, chief executive officer, Starwood Capital Group (Getty Images, Brookfield Asset Management/Illustration by Steven Dilakian for The Real Deal)
    Blackstone, Starwood to pay $1.5B for WoodSpring Suites properties
    Blackstone, Starwood to pay $1.5B for WoodSpring Suites properties
    Keith Powers, Democratic District 4 representative on the New York City Council, in front of 45 East 45th Street (Getty Images, The Roosevelt Hotel, iStock/Illustration by Steven Dilakian for The Real Deal)
    Local lawmakers aim to landmark shuttered Roosevelt Hotel
    Local lawmakers aim to landmark shuttered Roosevelt Hotel
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...