PARIS L’Hôtel de Crillon has been sold to an unidentified member of the Saudi royal family for an estimated €250 million, although terms of the transaction have not been disclosed.
Current owner Starwood Capital, through its Groupe du Louvre subsidiary, confirmed the deal last week. No official announcement has been made regarding Crillon’s future management, but several published reports say the new owner plans to appoint Kempinski Hotels to manage the 252-year-old, 147-key property following a year-long renovation expected to cost about €100 million.
Starwood Capital, which acquired Le Crillon back in 2005, attempted to sell the property to Saudi investors once before. In April, a France court ruled that Saudi-backed JJW Hotels & Resorts would have to pay €100 million to Starwood Capital to settle a dispute involving the aborted sale of Le Crillon to JJW. Starwood Capital acquired the hotel when it took over the Taittinger empire in 2005.