Fertilizer billionaire Alexander Rovt is in talks to build two hotels in New York – one in Manhattan and one in Brooklyn.
According to The Real Deal, Rovt has set aside up to $250 million for the projects, though he has yet to identify specific sites or partners.
“If you build three- or four-star hotels, you will always have customers,” Rovt said, dismissing the notion that New York’s hospitality sector is nearing a state of oversupply. “I think that a hotel offers one of the best returns we can get.”
Rovt has been a quietly active investor in the New York real estate market since buying 14 Wall Street for $303 million in an all-cash deal in 2012. In April 2014, he co-financed Spruce Capital Partners’ $58-million acquisition of the 127-unit rental building 1209 DeKalb Avenue, which the partners have since been looking to flip. The two also partnered up for the condo development 151 East 78th Street. More recently, Rovt invested $8 million in GFI Capital’s planned Ace Hotel at 61 Bond Street, which has yet to be built.