CMS Cameron McKenna advises on acquisition of Crowne Plaza, London – The City
15.07.2008
CMS Cameron McKenna LLP was pleased to advise ARG Hotels Limited, a company established by Marg Galadari, on the acquisition of the Crowne Plaza, London - The City hotel at Blackfriars, London for consideration substantially in excess of £80 million. The hotel continues to be managed by the InterContinental Hotels Group.
Until recently, Mr Galadari was the chairman, CEO and major shareholder of a diversified group holding hotels in both Asia and the Middle East.
Mr Galadari commented, “Having previously owned hotels through my family company, I am delighted to have acquired such a prestigious hotel in the City of London with such a strong position in the market and I expect this to be the first of a number of investments in the UK”.
The CMS Cameron McKenna team was led by corporate partner, Tom Page and tax partner, Mark Nichols from the firm’s highly rated Hotel Group with support from real estate partner, James Miller. They were assisted by Ian McGarr (Banking), Alice Nairn and Paul White (Corporate), Anna Burchner (Tax); and Ziad Mantoura (Real Estate).
Tom Page commented, “Mr Galadari is a long standing client of the firm who has previously owned hotels in Asia and the Middle East and this is his first foray into the London hotel market. With our connections and experience in the industry we assisted with Mr Galadari’s introduction to the deal, helped him secure ongoing financing and ensured that the transaction was completed in a matter of weeks. Despite market conditions, we have many other clients and contacts looking to acquire or finance hotels in Europe, but there seems to be a distinct lack of sellers at this stage”.
Despite the public perception of market conditions, this transaction comes at the end of a busy first half of the year for CMS Cameron McKenna’s hotel & leisure group, having already advised on a number of major projects, including JJW Hotels & Resorts’ US$268million acquisition of Portuguese hotels and golf courses; HLH’s management agreement for a development pipeline of 30 Hampton by Hilton hotels in the UK; Enterprise Inns’ proposals for conversion to REIT status; Moorfield’s acquisition from REIT Asset Management of three UK hotels to add to its portfolio leased to Shearings Hotels; and Jupiter Adria’s development of hotel, golf and leisure resorts in Croatia.
The acquisition was arranged by Rob Seabrook and Roberto Galano of Jones Lang LaSalle Hotels.
|