HEI sells Algonquin Hotel in New York City

HEI Hotels & Resorts sold the 174-room Algonquin Hotel in New York City, for an undisclosed price. Under the terms of the deal, HEI will continue to operate the hotel on behalf of its new owner.

“We purchased the hotel through our initial fund (Fund I, raised in 2004) and have since then completed a renovation and affiliation with Marriott’s Autograph Collection brand” said Steve Mendell, president—acquisitions and development. “This transaction enabled us to cycle out of the investment, yet continue to maintain our presence in the attractive Manhattan marketplace.”

Located off of Times Square at 59 West 44th Street, between Fifth and Sixth Avenues, the property arguably is the most “literary” hotel in the world. Home of The Algonquin Roundtable in the 1920s, the property has played host to many of the world’s most illustrious writers and personalities, including Dorothy Parker, H.L. Mencken, Gertrude Stein, Douglas Fairbanks, Sr., John Barrymore and Helen Hays. William Faulkner drafted his Nobel Prize acceptance speech at the hotel, and Alan Jay Lerner and Frederick Lowe wrote “My Fair Lady” in Lerner’s suite

“HEI continues to build relationships with an ever expanding group of hotel owners,” said Anthony Rutledge, HEI chief financial officer. “We look forward to working with the new owner and will through HEI’s unique operating platform continue to add value to this iconic asset as a third-party operator.”

Virtual Event

Hotel Optimization Part 3 | Available On Demand

With 2020 behind us and widespread vaccine distribution on the horizon, the second half of the new year is looking up, but for Q1 (and most likely well into Q2) we’re very much still in the thick of what has undeniably been the lowest point of the pandemic. What can you be doing now to power through and set yourself up for a prosperous 2021 and beyond? Join us at Part 3 of Hotel Optimization – A Virtual Event, now available on demand, for expert panels focused on getting you back to profitability.