PLAZA OWNER SEEKS PARTIAL SALE
By LOIS WEISS
May 14, 2005 -- The new owner of the Plaza Hotel is seeking to sell all or a portion of his stake in the 300-room hotel to a luxury brand.
Elad Properties, run by CEO Miki Naftali, already paid $600 million for the hotel and planned on spending another $300 million on renovations to it and the 150 condomiums he is creating.
According to Real Estate Investment & Finance, Elad Naftali has reached out to Prince Alwaleed bin Talal, a partner in the Plaza's former ownership structure.
Naftali told REFI he was also in discussions with Raffles Holdings, Shangri-La Hotels & Resorts, and Bvlgari Hotels & Resorts, among others.
If a deal can be cut with the prince, it could bring Fairmont management back to the location. Fairmont has also been in discussions with the Essex House, but it is likely only one city hotel would fly its flag.
Sources tell The Post Naftali hopes to sell either the entire hotel and some of the retail portion, or a non-controlling half stake in that entity to an investor or a luxury brand while he continues with the development of the condominiums.
Copyright 2005 NYP Holdings, Inc