The Real Deal has reported that the Sixty Soho hotel, located on Thompson Street in the Soho neighborhood of New York, is under contract to be acquired by Standard International.
A source told Real Deal that the hotel sold for more than $1 million per key for the 97-room property, which had been owned and operated by Jason Pomeranc and his family’s Sixty Collective. At that valuation, it would be the highest post-COVID sale surpassing the Mr. C hotel in the South Street Seaport that reportedly sold for $900,000 per key last month.
Sixty Soho, née 60 Thompson until its name change in 2013, opened in 2001 and quickly attracted a hip crowd drawn to its nightlife scene and the lifestyle experience that was ahead of its time.
At $1 million per key, it’s still far off the record per-key sale of a New York hotel, which was the $2-million per key Starwood Capital and The Olayan Group received for the sale of the Baccarat Hotel to China’s Sunshine Insurance Group Co. in 2015.
The 114-room was sold for $230 million total.
HOTELS reached out to Standard International and JLL, the reported broker, for comment, but has received no response.
Hyatt Hotels Corp. acquired the Thompson brand in 2018 through its acquisition of Two Roads Hospitality and has since taken it international to Madrid, along with a slew of U.S. locations.
Pomeranc’s Sixty Collective still operates Sixty LES, also in Manhattan, and Sixty Beverly Hills, in Los Angeles.
Standard currently operates two hotels in New York in the Meatpacking district and the East Village, along with hotels in London and Miami. It also has hotels internationally, in the Maldives, Bangkok, Ibiza and Hua Hun, in Thailand. Other brands within Standard International include Bunkhouse Group and The Peri Hotel.
Hotel transactions are beginning to percolate in the U.S. and New York, specifically, though still off prior years in regarding to volume.
In Manhattan, recent notable trades include the Sheraton New York Times Square, the third-largest hotel in the city with 1,780 rooms, which MCR and Island Capital Group jointly acquired for $373 million, or $210,000 per key, well down from the $736 million, or $414,000 per key, REIT Host Hotels and Resorts originally paid for the hotel in 2006.
Last April, Sonesta International Hotels Corporation acquired four hotels in Midtown for a reported $324 million: The Benjamin, The Shelburne Hotel & Suites, the Gardens Suites Hotel and the Fifty Hotel & Suites.