Dive Brief:
- LuxUrban Hotels Inc. has opened three hotels in New York City, which it previously acquired under long-term Master Lease Agreements, the company announced Friday.
- Two of the NYC properties are in Times Square, with the third in Manhattan’s Flatiron District. All three will join Wyndham Hotels & Resorts’ Trademark Collection.
- LuxUrban has been snapping up properties across the U.S. but has focused a great deal of its expansion on the NYC market. Times Square, in particular, is seeing an influx of hotel development.
Dive Insight:
LuxUrban’s latest NYC openings add 368 rooms to its portfolio in the market.
The company expects to add seven properties during the fourth quarter of 2023, which were also acquired under MLAs. Of the seven, five are in New York City: a 725-room hotel in Midtown East, a 168-room hotel in Bryant Park, a 200-room hotel in Times Square, a 145-room hotel on the Upper West Side and an 86-room hotel in Midtown West.
The company will also add an 84-room property in Miami Beach, Florida, and a 196-room hotel in New Orleans’ French Quarter.
The 725-room hotel in Midtown will be LuxUrban’s “largest property acquisition to date,” according to Brian Ferdinand, chairman and CEO of LuxUrban, in a statement. “[W]e believe that it reflects the opportunity to acquire properties of similar size as we continue to grow and evolve as a company,” he said.
Ferdinand cited Wyndham Hotels & Resorts’ support as a driving factor in LuxUrban’s ability to “target and acquire larger properties.” A portion of LuxUrban’s hotels are now part of Wyndham’s Trademark Collection.
LuxUrban joins other major hotel companies expanding in New York City, particularly in Times Square. Hilton recently opened its Tempo by Hilton and Motto by Hilton lifestyle hotels in the neighborhood, while Marriott launched Delta Hotels by Marriott and InterContinental Hotels Group opened a Kimpton hotel nearby.
LuxUrban previously signed MLAs for two Times Square hotels in June.
