Accor sells two hotels in USA for more than £100m

08 January 2007 by
Accor sells two hotels in USA for more than £100m

French hotel chain Accor has sold two of its Sofitel properties in the USA for $225m (£116m) to help cut its debt.

The properties in New York and Philadelphia have been sold to a joint venture, including GEM Realty Capital, Whitehall Street Real Estate Fund and Accor, which was created in March 2006 and already owns six US Sofitel hotels.

Accor will remain a 25% shareholder in the joint venture and will continue to manage the hotel on a 25-year contract under the Sofitel brand.

A statement by Accor said the deal was part of the group's asset management strategy and "completes Accor's transformation of its Sofitel business model for North America with a hotel base operated primarily under management contracts."

The sale should reduce debt by more than €150m (£77.6m) and will help increase the company's 2007 annual profit before tax.

Accor third quarter results >>

CatererSearch100 profile:Michael Flaxman >>

Accor hotels website >>

By Emily Manson

E-mail your comments to Emily Manson here.

Get your copy of Caterer and Hotelkeeper every week -

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking