Why is the Waldorf Astoria in New York City being sold?

The Waldorf Astoria in New York City is being sold by its Chinese government-controlled owner, as part of a trend of Chinese entities divesting from U.S. real estate amidst political tensions.

How much did the Waldorf Astoria renovation cost?

The Waldorf Astoria underwent an eight-year renovation that was multibillion-dollar, significantly exceeding budget, with total investment costs exceeding $4 billion.

What other U.S. hotels is the Chinese government company selling?

The Chinese government company is also marketing a dozen other luxury U.S. hotels from the Strategic Hotels & Resorts portfolio, including properties in Manhattan and Washington, D.C.

Home / Business and Economy / China Sells Iconic Waldorf Astoria Amid US Pullout

China Sells Iconic Waldorf Astoria Amid US Pullout

12 Feb

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Summary

Chinese government company plans to sell the Waldorf Astoria.
The hotel reopened after an $4 billion renovation and overhaul.
Sale comes as Chinese owners exit US properties.

China Sells Iconic Waldorf Astoria Amid US Pullout

The Waldorf Astoria in New York City is slated for sale by its Chinese government-controlled owner, merely months after its reopening. Expected to be marketed next month, the hotel's sale follows a complex eight-year, multibillion-dollar renovation that significantly exceeded budget and schedule. The transformation resulted in a smaller hotel with 375 guest rooms, alongside 372 condominium units offered separately.

This potential sale occurs as the luxury hotel market shows strong performance, with New York City's sector achieving record rates. The property was acquired in 2014 for $1.95 billion, with subsequent construction costs pushing the total investment beyond $4 billion. Despite this, sellers do not anticipate recovering their full investment.

The sale is indicative of a larger movement where Chinese owners are increasingly exiting the U.S. market. This trend has been amplified by escalating political tensions between the two nations. The Waldorf Astoria's ownership transferred to the Chinese government after the founder of the original purchasing company, Anbang Insurance Group, faced legal issues and imprisonment.