Greenland puts Hotel Indigo inside Metropolis on block for $280M

The move signals more issues with the firm's $1B Metropolis project

Los Angeles /
Feb.February 01, 2018 08:28 AM
Indigo Hotel (Credit: Gensler)l

Greenland Group is shopping the Hotel Indigo located within the Metropolis complex for a reported $280 million, another indication the company is facing setbacks with the $1 billion project.

The 350-room hotel located in Downtown Los Angeles is operated by InterContinental Hotels Group. Greenland USA, a subsidiary of Shanghai-based Greenland led by Hu Gang, tapped Marcus and Millichap to shop the hotel, CoStar reported. The company may be looking to use the proceeds from the sale to finance the larger Metropolis project, according to the report.

The offering comes as The Real Deal reported last week that Greenland and other Chinese firms have pulled back from their investments in the U.S.

The change in direction is partially a result of pressure from the Chinese government to limit the amount of money leaving the country.

Greenland is also mulling the conversion of the 1,500 planned condos at the project into rentals, which would then be sold off to a multifamily operator after construction is complete, CoStar reported. In the fall, the Agency took over condo sales for the project from Douglas Elliman.  Experts wondered whether there was enough demand to satisfy the enormous number of residential units that have come online in the Downtown market, and continue to do so.

Greenland completed construction of the Hotel Indigo in early 2017. Tower 1, with 308 residential units was about 80 percent complete as of December. Tower 2, which has 514 residencies was in presale, and the whole project is set to be finished next year.

Another Chinese giant, Dalian Wanda Group, is looking to sell its biggest asset in L.A., One Beverly Hills.   [CoStar] — Alexi Friedman


Related Articles

arrow_forward_ios
Neil Shekhter (Shekhter by Kevin Scanlon; iStock)
Santa Monica mega-portfolio officially hits market
Santa Monica mega-portfolio officially hits market
Photo illustration of Gov. Gavin Newsom and the Holiday Inn in Long Beach (Getty, Google Maps)
California spent $850M on inns for homeless
California spent $850M on inns for homeless
NMS Properties' Neil Shekhter and renderings of 1325 6th Street, 1437 6th Street, 1430 Lincoln Blvd. and 1318 Lincoln Blvd. in Santa Monica (Kevin Scanlon, WSC)
City for sale: Shekhter looks to unload mega-portfolio in Santa Monica
City for sale: Shekhter looks to unload mega-portfolio in Santa Monica
The Georgian at 1415 Ocean Avenue and The Viceroy at 9291 Burton Way (Google Maps)
An inhospitable market? LA’s biggest hotel sales plunge in 2020
An inhospitable market? LA’s biggest hotel sales plunge in 2020
Slate Property Group co-founder Martin Nussbaum and the Hotel Cecil (Slate, Google Maps)
Developer snags $30M loan for Hotel Cecil conversion
Developer snags $30M loan for Hotel Cecil conversion
Sean Burton and a rendering of the project (Cityview, Humphreys & Partners Architects)
Cityview secures funding for nearly 300-unit complex near USC
Cityview secures funding for nearly 300-unit complex near USC
Left to right: Viceroy L’Ermitage Beverly Hills and THEA at Metropolis in Downtown (Google Maps, THEA)
Greenland lands $250M loan for THEA at Metropolis rental tower
Greenland lands $250M loan for THEA at Metropolis rental tower
Continuum CEO Mark Falcone and a rendering of the project (EYRC Architects via Urbanize)
Continuum Partners, Platinum Equities plan Arts District office tower
Continuum Partners, Platinum Equities plan Arts District office tower
arrow_forward_ios

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

Loading...