The famous Plaza Hotel in New York is getting new ownership. Buyers Shahal Khan, founder of Dubai-based family office White City Ventures, and Kamran Hakim, of the New York landlord Hakim Organization, agreed to pay $600 million for the hotel. The deal is set to be completed on June 25.
“We worked for three and a half years to get to this stage and can’t wait until it’s closed,” said Khan to Bloomberg, who confirmed the purchase but declined to speak further. The announced purchase price would mark a significant drop from its 2004 sales value of $675 million (roughly $875 million in today’s dollars).
According to a source who spoke to Bloomberg, Mumbai-born British billionaires David and Simon Reuben are providing a loan of roughly $415 million. This is roughly 70 percent of the transaction’s value.
The Plaza Hotel, located at the southeast corner of Central Park, was opened 111 years ago and has been featured in many films and literature. President Donald Trump previously owned the hotel in the late 1980s and early 1990s but was forced to sell it more than two decades ago as part of a bankruptcy agreement. The building was closed down after its 2004 sale for a years-long renovation, after which a portion of its rooms were converted to luxury condominiums. Its current owners include Sahara India Pariwar, Saudi Prince Alwaleed bin-Talal’s Kingdom Holdings and Ashkenazy Acquisition Corp.
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