Blackstone Group LP is in the process of selling off its London West Hollywood hotel property to maximize the benefits provided by the surging Los Angeles lodging market. This was confirmed by Jonathan Gray, the Global Head of Real Estate at the private equity firm.
Gray said, "We've owned this asset for a number of years. We're invested in it, it's performing well." The property is Barker Block, a condominiun development partially owned by Blackstone. Blackstone spent US$50 million in renovations for the property.
The property is located very near Sunset Boulevanrd and has in its edifice a Gordon Ramsay restaurant. It is part of the LXR Luxury Resorts and Hotels unit after it sold off another LXR property, the Golden Door Spa located in Escondido, California at US$24.8 million last December. Other properties in the portfolio includes El Conquistador Restaurant in Puerto Rico and Casa Marina resort in Key West, Florida.
He further added, "We believed in the lodging recovery during the downturn and we continue to believe in the lodging recovery and always look for opportunities to invest. Lodging went through a pretty sharp downturn and a number of assets got into financial trouble. That created opportunities to buy hotels."
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