Subrata Roy and Sahara India Pariwar has finally sold one its highly coveted assets, London’s Grosvenor House, to U.S.-based real estate investor Ashkenazy Acquisition Corp., which recently acquired a stake in New York’s famed Plaza Hotel, also partially owned by Roy and Sahara.
Terms of the deal were not disclosed, but a bid of more than US$774 million for the London legend was reportedly made in April by London billionaires David and Frederick Barclay.
The deal “reflects a continued aggressive focus” on buying an additional US$2.3 billion of “global iconic assets” over the next two years, New York-based Ashkenazy said in a statement. It has assets valued at more than US$10 billion with a focus on retail, hotel, office and residential properties.
According to a Bloomberg report, billionaire brothers David and Simon Reuben held the debt on the Plaza and Grosvenor House, which were cross-collateralized with another hotel, the Dream Downtown in New York. The Reubens had bought the debt after a default by Sahara India Pariwar, controlled by Roy, who was imprisoned in India in 2014 for allegedly defrauding investors. The Reubens had scheduled an auction for the Plaza early last year, then canceled it after negotiating a debt extension. Prospective buyers, including Qatar Investment Authority, had explored a purchase.
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