LuxUrban Takes Over Management at Manhattan's Royalton and Truss Hotels

LuxUrban Expands Its Empire with Two More Manhattan Hotels

Manhattan's hotel industry is witnessing a significant shift as LuxUrban Hotels, a prominent player in the hospitality sector, takes over two more establishments in the heart of the city. The company has recently signed 25-year master lease agreements for the Royalton Hotel and the Truss Hotel, further expanding its portfolio in New York City.

Details of the Deal

The Royalton Hotel, located at 44 West 44th Street, boasts 168 rooms, while the Truss Hotel at 515 Ninth Avenue has 86 rooms. LuxUrban Hotels will be taking over operations of both these properties, although the specifics of the deal, such as the asking rent or the brokers involved, remain undisclosed.

The Royalton is currently owned by MCR Hotels, a company managing a whopping $5 billion in hospitality assets. The ownership of the Truss Hotel, however, remains undisclosed and is not easily traceable in New York City's property records.

Impact on LuxUrban's Portfolio

These new acquisitions are set to add significant value to LuxUrban's existing portfolio. "These hotels add density to our primary market of New York City and increase our portfolio of properties that will be integrated into the LuxUrban operating platform," said Brian Ferdinand, Chairman of LuxUrban Hotels. He further added that the company is managing a robust opportunity pipeline and expects to close several more master lease agreements in the near future.

Previous Ownership of the Royalton

The Royalton Hotel has seen a change of hands in recent years. Highgate and Rockpoint Group purchased the property from FelCor Lodging Trust for $55 million in 2017. However, they didn't hold onto it for long, selling it for $40.8 million to MCR at a $15 million loss in September 2020.

As LuxUrban continues to expand its footprint in the New York City hotel market, industry professionals, real estate investors, and prospective homeowners will be keenly watching the company's next moves. This development not only signifies a shift in property ownership but also indicates the dynamic nature of the real estate market in Manhattan.

Contact Information

For further information, Mark Hallum can be reached at [email protected].