Hotel magnate Scheetz calls off hotel after selling properties to NYU

Ed Scheetz, who heads Chelsea Hotels, took an offer he couldn't refuse. The Daily News reports that a luxury hotel he had planned for an area in Manhattan known as NoHo, is now a no-go after he sold two buildings to New York University for a reported $157 million.

"We bought the property a year ago and sold it to New York University after receiving an attractive offer we could not refuse," a spokesperson for Chelsea Hotels told the Daily News. "This sale positions us to consider a variety of options in the future and to focus more intensively on Hotel Chelsea."

The buildings, at 404 Lafayette St. and 708 Broadway, were slated to become a 249-unit hotel. Now, they will be used by NYU as an interim athletic center.

The sale brought in a nice chunk for Scheetz. They were reportedly valued at $96.6 million when he acquired them in 2013.