Strategic Hotel Capital purchased the 290-room hotel in 1998.

�This sale is in line with our stated goals of selling assets that we feel are not in keeping with our long-term strategic objectives. We remain committed to our focus on luxury properties in major European, Asian and U.S. cities,� said Strategic Hotel Capital CEO Laurence Geller. �We will continue to acquire hotels that fit our criteria; large hotels managed by a select group of preferred operators,� he added.

�The sale represents the largest transaction in the London market this year,� said Robert Seabrook, senior vice president, Jones Lang LaSalle Hotels, London. He added that �2000 has generally seen owners holding onto their assets and enjoying strong income growth, however, Strategic Hotel Capital saw an exit opportunity to realize the hotel�s growth in capital value since their acquisition of the property in 1998.�
 

The St. Ermin�s is a historic four-star hotel in the heart of the Westminster tourist area in central London. It is close to Westminster Abbey, Houses of Parliament, Buckingham Palace, Queen Elizabeth II Conference Center, Victoria Railway Station, New Scotland Yard and St. James Park, and is only a short walk from Mayfair, a major shopping district. In addition to its 290 guest rooms, the hotel contains two restaurants, three lounges, and approximately 14,000

ST. ERMINS HOTEL London, England

square feet of meeting and banquet space.

A privately held firm founded in 1997, SHC targets upscale and luxury hotels on a global basis for acquisition. Since its inception, SHC has assembled a portfolio of properties in the United States, Mexico and Europe.

Hotels in the SHC portfolio include the Essex House, A Westin Hotel, New York City; The Ritz-Carlton, Laguna Niguel, Dana Point, Calif.; the Hyatt Regency New Orleans; the Hyatt Regency Embarcadero and the Park Hyatt, both in San Francisco; and the Hyatt Regency on Capitol Hill, Washington, D.C.

SHC is committed to building approximately 30 percent of its portfolio outside of the United States, said Geller. In Europe, its properties include the Marriott Champs Elysees in Paris, the Hotel Inter-Continental Praha and the Marriott Hamburg. In Mexico, SHC owns the Four Seasons, Mexico City.