The Chinese brands are establishing footholds in international gateway cities with Dalian Wanda Group leading the way.
Dalian Wanda Group announced on Tuesday that it agreed to buy a 90% stake in the Lakeshore East development in downtown Chicago for US$900 million to bring a 240-room Wanda-branded hotel to the U.S.
Magellan Development Group, Chicago, will hold the remaining 10% interest in the development.
Dalian Wanda Group, Dalian, China, said the hotel will be contained in a 350 m (1,148 ft) high, 89-floor skyscraper, which will have a gross floor area of 131,400 sq m (1.4 million sq ft). The mixed-use development will also contain a luxury apartments and commercial center.
“Investing in Chicago property is just Wanda’s first move into the US real estate market,” said Wang Jianlin, Wanda Group chairman. “Within a year, Wanda will invest in more five-star hotel projects in major US cities like New York, Los Angeles and San Francisco. By 2020, Wanda will have Wanda branded five-star hotels in 12-15 major world cities and build an internationally influential Chinese luxury hotel brand.”
The Chicago project is Wanda Group’s third overseas 5-star hotel project, following announcements of luxury hotel projects in London and Madrid.