Date: January 2020
Location: The Beverly Hills’ Golden Triangle neighbourhood, Los Angeles, California, USA
Name: The Montage Beverly Hills
No. of Keys: 201
Seller: Ohana Real Estate Investors, part owners of Strategic Hotels (7-Pack) which is a portfolio of 7 luxury hotels including the Ritz-Carlton Laguna Niguel, Fairmont Scottsdale Princess, and Four Seasons Jackson Hole. In February 2016, Ohana acquired a participation in a performing mezzanine loan through a syndicated process. The mezzanine loan was part of a $1.4 billion total debt stack encumbering the portfolio. They have other loan/debts on some great prestigious hotels in California and the Mark Hotel New York.
The company is headed up by Chris Smith.
Buyer: Maybourne Hotel Group, a Qatari-backed firm, bought the Montage Beverly Hills, a five-star hotel in the heart of the California city’s luxury shopping district.
Maybourne, which has the iconic London hotels of Claridge’s, the Connaught and the Berkeley in its portfolio, announced the acquisition in a statement Saturday, without disclosing financial details.
Bloomberg reported this week that Maybourne was closing in on a deal for the 201-room property, in a transaction that would value it at more than $400 million.
The transaction is the first in the U.S. by London-based Maybourne, which says it is pursuing a ‘global expansion strategy’ and that other hotels will be announced in due course. Constellation Hotels, linked to former Qatari prime minister Sheikh Hamad bin Jassim Al Thani’s family office, bought a 64% stake in Maybourne in 2015 from the billionaire Barclay brothers.
“We are excited to have our first property outside of London,” said Paddy McKillen, who runs the Maybourne Group’s hotels. “We plan to bring some of the inspiration and creative energy to Montage Beverly Hills that has made our London hotels so successful and much loved.”
The Montage, located in Beverly Hills’s Golden Triangle area, has a 20,000-square-foot (1,860-square-metre) spa and a rooftop pool overlooking Rodeo Drive. Weekend rates at the hotel range from $595 a night for a king room to $10,000 for the most expensive suites.
Price per Key: US$1,990,050
THPT Comment: Great to see Maybourne expand outside of London/the UK, and a great hotel to make it’s debut into the portfolio.
First Seen: Bloomberg
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