Chinese firm buys yet-to-open Baccarat Hotel for $2m a room

Baccarat Hotel & Residences New York
By Daisy Melwani


The global flagship Baccarat Hotel New York has been sold for more than $296 million (US$230m) even before welcoming its first guests.

Chinese firm, Sunshine Insurance Group (SIG), snapped up the 50-story 114-room hotel and residences that is due to open in early March, from Starwood Capital Group who was selling on behalf of a controlled affiliate.

The purchase comes after SIG bought Sydney’s Sheraton on the Park Hotel for $463 million late last year. According to an interview with The Australian, SIG chairman Wei Gong Zhang said the group was looking for a “global spread of assets that were strong performers”, and would also extend its reach into Europe.

Located across from the Museum of Modern Art, the Baccarat Hotel & Residences marks the first entry into hospitality for the global brand.

“Adorned by a 125-foot wide corrugated crystal facade rising 60 feet above the sidewalk, the building glows from the inside out, celebrating the quality of light and truly embodying the Baccarat crystal heritage,” the company stated.

The hotel will feature a bespoke Spa de La Mer, aBar at the Baccarat set in a wine crystal “barrel” and one of the largest lobbies of any luxe hotel in the city.

“We are extremely pleased to have found such a great partner for Starwood and Baccarat in the Sunshine Insurance Group,” Starwood Capital Group chairman and ceo, Barry Sternlicht said.

“For 250 years, for kings, queens, tsars and sheiks, Baccarat has represented absolute perfection in crystal. Our aspiration is that Baccarat Hotels will present perfection in service to our guests. We look forward to presenting this world-class experience to our guests at this landmark hotel, which will surely take its place as one of the most famous hotels in the world in the number one travel destination in our country.”

Baccarat Hotels are also under construction in Dubai and Rabat, Morocco and other projects have been flagged in several European capitals and resorts.

After the transaction closes, the hotel will be managed under a long-term contract by Starwood Capital’s SH Group.

Image: nydesignagenda

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