Manhattan’s famed Plaza Hotel may be up for sale, but partner Saudi Prince Al-Waleed Bin Talal has other ideas.
According to reporting by the New York Times, both the prince and New York investment and development company Ashkenazy Acquisition Corp. (which since May have had a combined 50% stake in the Plaza), want to move forward with a plan to acquire and revamp the hotel from Sahara India Pariwar’s Subrata Roy, who on Tuesday hired JLL’s hotels and hospitality group to manage the property’s sale.
Under the ownership agreement, both partners have the right to match any offer for the hotel and then take it over, the Times reported.
Ashkenazy and the prince’s company, Kingdom Hotel Investments, say they want to implement an extensive modernization program to make the Plaza more competitive with the other five-star hotels in Manhattan and to reopen the hotel’s Oak Room and Oak Bar, both which have been dark since 2011.
Roy, who has been jailed in India amid allegations that he cheated investors out of billions, has been trying to no avail to sell the Plaza, which is managed by Fairmont Hotels & Resorts, since 2012.
When asked if he thought the move to sell was intended to start a bidding war on Roy’s part, chief executive of Kingdom Hotel Investments Sarmad Zok said the company could not comment.