Print Preview : Newly opened Hilton Garden Inn in Midtown Manhattan sold to RLJ Development LLC

Newly opened Hilton Garden Inn in Midtown Manhattan sold to RLJ Development LLC
Brack Capital Real Estate BV sold earlier this month the newly opened Hilton Garden Inn in midtown Manhattan to RLJ Development LLC for $121.2 million. The 298-room hotel is located at 63 West 35th Street, near Herald Square and a couple of blocks from the Empire State Building.

Dutch-registered Brack Capital was founded by Shimon Weintraub, Ronen Peled, and Ronny Yitzhaki. In February 2007, it bought the site of a parking garage from Icon Parking Systems Inc. for $31 million and built the hotel on the site. The hotel was opened on March 1, the same time as the deal for its sale was closed on the basis of a term sheet signed by Brack Capital USA CEO Moshe Dan Azogui in January.

Although there have been few deals in New York City's commercial real estate market in recent months, sources note that the Hilton Garden Inn was sold for $407,000 per room, which is considered a good price considering the market climate.

In December 2008, a 146-room hotel around the corner was sold for $46.4 million, or $317,000 per room. Brack Capital was founded in 1992, and has since been involved in real estate and infrastructure deals throughout the world. It has invested more than $8 billion in real estate ventures, mostly in the US and Europe. In Israel, the company owns the Herzliya Marina. Tatiana Rokou - Friday, March 27, 2009