Hotel Online Special Report The Hongkong and Shanghai Hotels, Limited and U.S. Developers Proceeding with 336 Room Luxury Peninsula Hotel in Chicago CHICAGO, June 30, 1999 -It was announced today that negotiations have been concluded and contracts signed to develop The Peninsula Chicago. Construction of the luxury hotel is scheduled to commence in July, with completion expected in March 2001. The joint venture partners in the project are The Hongkong and Shanghai Hotels, Ltd (HSH), which owns and manages The Peninsula hotels, and a partnership of Thomas J. Klutznick Co. and Himmel and Co.
Financing for the 18-story tower is being provided by HSBC Bank U.S.A., a principal member of HSBC. The Hon. Michael D. Kadoorie, chairman of HSH, commented: “The Peninsula Chicago represents a continuation of our strategic expansion in the U.S. market and will create synergy with The Peninsula New York, The Peninsula Beverly Hills and Quail Lodge Resort Golf Club in Carmel. We plan to make this the premier hotel in the Chicago market. “The move complements our global growth plans, which this year have been marked by the formal launch of The Peninsula Bangkok.”
Speaking on behalf of his company, Thomas J. Klutznick said: “The creation of The Peninsula Chicago will bring a new elegance to Chicago’s North Michigan Avenue as well as a new level of distinction to the city’s luxury hotel market. It will be a magnificent property and a very special experience for its guests and clientele.”
The Peninsula Chicago will be built above the existing 730 North Michigan Ave. retail complex that houses Polo Ralph Lauren, Tiffany Co., Banana Republic, Pottery Barn, American Girl Place and CompUSA. The entrance to the hotel will be located on Superior Street and will be connected by elevators to the fourth floor lobby level. The property’s facilities will include 336 guestrooms and suites, all meeting Peninsula’s exacting standards and featuring the hotel group’s proprietary guest-comfort technology in-room service. Underpinning a superior product will be the quality service for which The Peninsula Group is noted. The Peninsula Chicago will incorporate distinctive elements unique to the Chicago market, including a glass-enclosed ballroom with floor-to-ceiling windows and seating for 380; an open-air terrace above Michigan Avenue for private functions and in-season public dining; a roof-top spa and health club with an indoor pool; and a range of suites including the Peninsula Suite, which will have a private terrace.
The Peninsula Chicago Fact Sheet Joint Venture Partners
The Hongkong and Shanghai Hotels, Limited is a Hong Kong-based publicly listed corporation and one of the oldest Hang Seng Index constituent stocks. Its principal business is the ownership and management of prestigious hotels, commercial and residential properties in key international centers. The company’s business interests are spread throughout Asia, Australia and the U.S.A.
Thomas J. Klutznick Company is a privately held, real estate investment and development firm with offices in Chicago and Denver. The principal of the company, Thomas J. Klutznick, has been responsible for the development of more than 30 million square feet of office, retail, hotel, resort and residential property throughout the United States. Chicago’s Water Tower Place and 730 N. Michigan Ave. and Boston’s Copley Place are notable examples. Klutznick has been involved in the development and operation of 10 hotels, including the Ritz-Carlton in Chicago, The Little Nell in Aspen, Colorado, and The Inn at Spanish Bay in Pebble Creek, California. Klutznick is a former owner of Aspen Skiing Co. in Colorado and Pebble Beach Co. in California. Currently he is a partner in Desert Ridge, a 5,700-acre, master-planned community under development in Phoenix.
Himmel and Company, whose president is Kenneth A. Himmel, is a Boston-based firm recognized as one of the nation’s leading mixed-use project developers. Since 1974, Himmel and Klutznick have collaborated on many projects including 730 North Michigan Ave. and Water Tower Place in Chicago; Pacific Place in Seattle; and Copley Place in Boston. Today, Himmel is president and chief executive officer of the Palladium Company, a joint venture with The Related Companies, a New York-based real estate company. Palladium is currently developing seven entertainment-enhanced retail projects in U.S. urban locations as well as New York City’s Columbus Center, a landmark mixed-use project of 2.7 million square feet.
Principal Consultants and Suppliers Architect Elkus/Manfredi Architects Ltd. (Boston, Massachusetts)
Interior Designer Babey Moulton Jue Booth (San Francisco, California)
General Contractor Morse Diesel International, Inc. (Chicago, Illinois)
Landscape Architect Office of Dan Kiley (Charlotte, Vermont)
Structural Engineer TT-CBM Engineers (Chicago, Illinois)
Purchasing Agents Purchasing Associates (New York, New York)
The Peninsula Chicago Fact Sheet Joint Venture Partners
The Hongkong and Shanghai Hotels, Limited is a Hong Kong-based publicly listed corporation and one of the oldest Hang Seng Index constituent stocks. Its principal business is the ownership and management of prestigious hotels, commercial and residential properties in key international centers. The company’s business interests are spread throughout Asia, Australia and the U.S.A.
Thomas J. Klutznick Company is a privately held, real estate investment and development firm with offices in Chicago and Denver. The principal of the company, Thomas J. Klutznick, has been responsible for the development of more than 30 million square feet of office, retail, hotel, resort and residential property throughout the United States. Chicago’s Water Tower Place and 730 N. Michigan Ave. and Boston’s Copley Place are notable examples. Klutznick has been involved in the development and operation of 10 hotels, including the Ritz-Carlton in Chicago, The Little Nell in Aspen, Colorado, and The Inn at Spanish Bay in Pebble Creek, California. Klutznick is a former owner of Aspen Skiing Co. in Colorado and Pebble Beach Co. in California. Currently he is a partner in Desert Ridge, a 5,700-acre, master-planned community under development in Phoenix.
Himmel and Company, whose president is Kenneth A. Himmel, is a Boston-based firm recognized as one of the nation’s leading mixed-use project developers. Since 1974, Himmel and Klutznick have collaborated on many projects including 730 North Michigan Ave. and Water Tower Place in Chicago; Pacific Place in Seattle; and Copley Place in Boston. Today, Himmel is president and chief executive officer of the Palladium Company, a joint venture with The Related Companies, a New York-based real estate company. Palladium is currently developing seven entertainment-enhanced retail projects in U.S. urban locations as well as New York City’s Columbus Center, a landmark mixed-use project of 2.7 million square feet.
Principal Consultants and Suppliers Architect Elkus/Manfredi Architects Ltd. (Boston, Massachusetts)
Interior Designer Babey Moulton Jue Booth (San Francisco, California)
General Contractor Morse Diesel International, Inc. (Chicago, Illinois)
Landscape Architect Office of Dan Kiley (Charlotte, Vermont)
Structural Engineer TT-CBM Engineers (Chicago, Illinois)
Purchasing Agents Purchasing Associates (New York, New York)
Contact: Kate Kelly General Manager, Corporate Communications The Hongkong and Shanghai Hotels, Limited 8/F St. George’s Building 2 Ice House Street, Central Hong Kong Tel: (852) 2840 7741 Fax: (852) 2537 6665 E-mail: [email protected] Also See: The Hongkong and Shanghai Hotels, Limited Report on Operations of the Peninsula Hotels / March 1999 Accor Announces Plans To Build Second Sofitel Hotel In Chicago / March 1998 Lend Lease’s Value Enhancement Fund III Purchases Westin River North Hotel In Chicago / Jan 1999