Months after launching a major celebration for its 15th birthday, a Times Square hotel is kicking off year 16 with a change in ownership.
The InterContinental New York Times Square hotel, at 300 West 44th Street, has been sold for $230 million by a joint venture between Tishman Realty and MetLife Investment Management to a partnership that includes Highgate, Gencom and Argent Ventures.
The Real Deal was first to report the news.
The buyers secured a $190 million loan for the purchase from Monroe Capital. Eastdil Secured represented the seller on the sale and the buyer on securing the financing, according to a representative for Gencom.
The 34-story hotel, which Crain’s New York Business reported was built for $500 million, opened in July 2010 on the corner of Eighth Avenue and West 44th Street in Midtown’s Theater District. The hotel commemorated that event’s anniversary this past July with an interactive art piece that hotel guests could participate in creating, and a “Cheers to 15” welcome promotion.
The InterContinental underwent a multimillion-dollar renovation in 2020 and 2021 that included a complete refresh of all 607 rooms as well as the hotel’s hallways, meeting spaces and hospitality services, according to Hospitality Net. With this sale, the hotel will undergo a complete renovation yet again, according to Gencom, in order to “meet the highest standards of luxury hospitality.”
“As Gencom’s second hotel acquisition in New York City in the past 18 months, this transaction underscores our confidence in the long-term strength and global appeal of this destination,” Karim Alibhai, founder and principal of Gencom, said in a statement, referencing his company’s 2024 acquisition of the Thompson Central Park New York. “We look forward to leveraging Gencom’s expertise to elevate the property’s experience further, blending luxury with the energy and sophistication of Manhattan.”
The hotel has been managed by IHG Hotels & Resorts, and will shift to an IHG franchise that Highgate will manage, according to Gencom. Highgate operates more than 87,500 hotel rooms worldwide, per Bloomberg, which first reported on the possibility of the sale in September.
“Highgate is thrilled to complete another significant investment in New York, and to partner with Gencom and Argent Ventures,” Zach Berger, the company’s principal, said in a statement. “Highgate has invested in New York across multiple cycles and multiple asset classes, and remains committed to fielding a best-in-class operating team in the market and delivering exceptional experiences for our guests and leading results for our partners. We are also excited to continue expanding our activities with IHG, and to lead this new chapter for the InterContinental New York Times Square.”
Representatives for Tishman, MetLife and Argent Ventures did not immediately respond to requests for comment.
UPDATE: This article has been updated to include quotes from Gencom and Highgate, as well as additional information provided by Gencom.
Larry Getlen can be reached at lgetlen@commercialobserver.com.