New York, NY – May 26, 2011 – An
exceedingly rare opportunity to acquire a 43-key, 12-story brand new
limited
service hotel property at 5 Allen Street on Manhattan’s revitalized
Lower East
Side, has come to the market exclusively through Eastern
Consolidated.
Eastern
Consolidated Director Marion Jones with Senior Director David
Schechtman, Esq.,
Peter Hauspurg, chairman and CEO, and Associate Director Philip Huang
are
spearheading the marketing initiative for the sale of the hospitality
property,
currently under construction, with a projected completion date in the
fourth quarter
of 2011.
“The
opportunity to own a newly constructed hotel in an ascendant
hospitality market
without taking on development risk is virtually unheard of,” said Ms.
Jones.
She added that “the area is quite under-served in relation to high
quality, limited-service
hotels but it is also a proven market for independent boutiques.”
According
to Mr. Schechtman, “Investors benefit from the flexibility to cancel
the Howard
Johnson flag, at a nominal fee, and reposition the property as an
independent
boutique in a location that robustly supports either approach.”
The 15,600-square-foot hotel is
configured with 22 double rooms, 21 single bedrooms, a ground floor
lobby and a
lower ground floor level with backyard garden.
“Another
competitive advantage is the possible long term exit strategy of
conversion to
office condominiums – a highly sought-after asset type in Chinatown
regardless
of market conditions,” said Ms. Jones.
Supply of
newly constructed limited service hotels has been constrained,
especially those
built south of Houston Street where the larger projects dominate, such
as
Silverstein Properties’ Four Seasons at 99 Church Street (190 keys),
Moinian’s
W Hotel and Residences at 123 Washington Street (220 keys) and the
Doubletree
Hotel at 8 Stone Street (399 keys).
Given its
location, 5 Allen Street could easily be branded to attract the growing
market
niche of affluent Chinese visitors to the City. And,
historically, the New York City
hospitality market is regarded as the most profitable hotel market in
the US
and one of the strongest markets in the world.
For further
information about the pending sale, please contact Ms. Jones, or
Messrs.
Schechtman and Hauspurg at Eastern’s Midtown offices: 212
499-7700.
Eastern Consolidated
Founded in 1981, Eastern Consolidated is
one of the country’s
preeminent full-service real estate investment services firms,
combining an
unrivaled expertise in the greater New York marketplace with a
worldwide roster
of institutional and private investor clients.
Over the years, it has been responsible for the acquisition,
disposition
and finance of all types of properties, including office and apartment
buildings, lofts, factories, hotels, shopping centers, commercial and
residential development sites, taxpayers, parking garages and lots,
retail
condominiums and air rights transfers.
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