Starwood Advances Asset Light Strategy with $213M Sale
Wednesday January 22nd, 2014 - 9:18AM EBAK
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STAMFORD, CT—Starwood Hotels & Resorts Worldwide, Inc. and Al Rayyan Tourism Investment Company (ARTIC), the international hospitality subsidiary of Al Faisal Holding Company today announced that ARTIC has acquired The St. Regis Bal Harbour Resort in Miami for $213 million.
“The sale of this trophy asset marks another step forward in Starwood’s pursuit of an asset-light strategy as we look to sell owned real estate at the right time to the right owners to create value for our shareholders,” stated Simon Turner, president of Global Development for Starwood. “We continue to see strong interest in our remaining assets from investors around the world, and look forward to working collaboratively with ARTIC on the future success of this property.”
The property will continue to be managed under a long-term agreement by Starwood Hotels and also continue to fly the St. Regis flag. The St. Regis Bal Harbour Resort is located at 9703 Collins Ave., directly opposite the Bal Harbour Shops and near Miami’s South Beach. The 27-story oceanfront property features 207 guestrooms and suites. The property also offers the St. Regis Bal Harbour Residences, branded private residences and condo-hotel units, which are nearly sold out.
Amenities at The St. Regis Bal Harbour comprise three dining outlets, including chef Jean-Georges Vongerichten’s J & G Grill; a 14,000-sq.-ft. Remède Spa; two ocean-view pools; and 11,200 sq. ft. of indoor function space and several outdoor venues. The hotel also includes the St. Regis Butler Service.
H.E. Sheikh Faisal Bin Qassim Al Thani, chairman of ARTIC, said in a statement, “This acquisition complements our investment focus on world-class assets in prime locations as we continue to expand our presence around the globe. We enjoy a strong relationship with Starwood Hotels & Resorts, are delighted to be working with them again and look forward to continuing this relationship in the future.”
ARTIC is engaged in real estate development, acquisition and leasing with a primary focus on the hospitality sector and hospitality-related services in Qatar and overseas with a portfolio of more than 25 hotels in prime city locations worldwide.
“This transaction will enhance ARTIC’s presence in the international hotel market, positioning us amongst the world’s leading hospitality companies,” stated Tarek M. El Sayed, executive board member of ARTIC. “We are currently studying other investment opportunities in U.S. as we aim to expand our geographic presence both regionally and internationally through building a renowned portfolio of prominent hotels in terms of brand, location and architectural design.”
Tags: Starwood • St. Regis • ARTIC • Hospitality • Amenities • Brands • Acquisitions • F+B •
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