The Four Seasons Hotel in New York, which has remained shut for over three years, is one challenge away from reopening. Putting an end to the three-year contract dispute, Ty Warner, the hotel owner, is believed to have reached an agreement, which will see the Four Seasons Hotel and the Biltmore Hotel in Santa Barbara, Calif., reopening in fall 2024.
The Four Seasons hotels in New York and Santa Barbara closed in 2020 following a dispute concerning fees and profit margins with Four Seasons. Four Seasons New York had initially aimed to open in spring 2022 but failed due to management fees and construction costs.
Warner and Four Seasons have been “working together to prepare” for the reopening of both properties, Four Seasons said in a statement in August. “Renovations and enhancement are planned throughout and the owner and operator look forward to ushering in a new era for both celebrated properties,” the statement added.
According to the New York Post, the only hurdle left before the reopening of the New York location is an agreement with the reunion, which is “required to open” the iconic luxury hotel. Warner said he is optimistic about the agreement coming soon.
Close to 350 workers belonging to the union were laid off in 2020 as a result of the dispute between Four Seasons and Warner. Of these, about 100 workers accepted a severance payout of $10 million in 2021, according to the New York Post. The rest of the former staff might want to return to their former positions.
In preparation for reopening, recalling furloughed employees will be a priority, Four Seasons said in August.
The 368-room Four Seasons was among the most expensive hotels in New York. The hotel has been recruiting people, including for the position of director of finance.
The owner and Four Seasons reportedly also clashed over labor costs for many years, with Warner stating that the hotel was not profitable enough partly because of its labor costs.
Located at 57 East 57th Street, the 52-story hotel was designed by I.M. Pei and was acquired by Warner, the inventor of Beanie Babies, in 1999 for $275 million. Warner also owns the San Ysidro Ranch, the Biltmore Hotel and Las Ventanas al Paraiso in Los Cabos, Mexico.