The Waldorf-Astoria is known for its Art Deco building in midtown Manhattan
New York's iconic Waldorf Astoria
hotel has been sold by Hilton Worldwide to Chinese insurance firm Anbang
Insurance Group for $1.95bn . However, Hilton will continue to operate the property "for the next 100
years", including renovating the property in the coming months. Shares in Hilton jumped 3% on news of the sale, before later declining. Hilton said it will use the proceeds from the sale to invest in other hotels
and assets in the United States.
"This relationship represents a unique opportunity for our organizations to
work together to finally maximize the full value of this iconic asset on a full
city block in midtown Manhattan," said Christopher J. Nassetta, president and
chief executive officer of Hilton Worldwide, in
a statement.
Conrad Hilton, the eponymous founder of the hotel firm, bought the Waldorf in
1949, 18 years after it opened. It has been the scene of many films, such as "Weekend at the Waldorf", and
was briefly the residence of Marilyn Monroe after she left Hollywood.Don't sell out America. A lot of iconic or historic places now belong to oriental conglomerates or oil rich sheiks. Keep your shit together people. It's your birthright. I see the same thing happening in Canada...it is disconcerting, disorienting and a little frightening.
Princess Grace of Monaco and Prince Rainier III of
Monaco attended a ball at the hotel in 1956
Jeannie
ReplyDeleteChinese firms are aware of the long term risks in holding dollars and are speculating on a global downshift in the value of the dollar. China cannot dump dollars quick enough. They are exchanging the currency for solid assets.
Last year 'One Chase Manhattan Plaza' was bought for $725 million. The year before that 'AMC Entertainment' was bought for $2.6 billion. According to 'Bloomberg Businessweek' Chinese firms spent $14 billion buying American assets in 2013 alone.
Many financial publications predict Chinese economy to overtake USA economy within a couple of years.
In the next 25 years most important real estate and successful businesses will be in the hands of Chinese or Indian people . Nothing to be surprised if you know the history. Two riches nations before 18th century were India and China.
One will notice how Chinese firms are buying everything and anything they can in both the U.S. and Europe .... and 'NOT' in China. It seems to me that if the U.S. is going down the tubes, investing there and not in an economy that grows at 7% every year (China), is a pretty poor decision, no?
In the 80's when the Japanese were buying up property in Pebble Beach and Rockefeller Square, people and the media took it to be an enormous sign of Japanese strength; when in reality it was a harbinger of enormous Japanese economic problems.
There's a reason why Chinese firms and private investors choose to purchase and invest in nations outside of China on a massive scale. That reason has nothing to do with "dumping dollars", as that argument is simply flawed. It has everything to do with China's enormous internal debt and non-performing loan issues.
Just my humble opinion
Hi Gil,
ReplyDeleteI get why Chinese investors want to convert cash to solid assets as a hedge against dollar devaluation and I also get why they want to stash their cash offshore, mostly via the British Virgin Islands ( about $660 billion, including assets, and predicted to double within three years).
50% Of Chinese millionaires and billionaires have emigrated or are in the process of emigrating to Europe or North America. Another good reason for the capital flight is that they don't wish their money to fall under all the tight policy measures and regulations of the Chinese government.
On the one hand, it's a good thing that China is integrating into the global economy. It will build political bridges and diffuse international tensions. It will also help stabilize global economy.
BUT, the way they exploited the Eurozone crisis by gobbling up all the real estate they could grab and the way they are taking advantage of North America's economic vulnerabilities by doing the same thing, feels like an insidious kind of violation or invasion, from the inside out.
Their primary interest is in real estate. When they heard about the bankruptcy of Detroit, they were there like vultures and bought most of the inner city and several heritage properties. They will build it back up and make it into a Chinese city,( Should Detroit be in Communist hands ?), just as they have done in Vancouver, where the population is about 45% Chinese and growing. I am not so much against that, as I am against their keen interest in snatching up land and purchasing any and all iconic or historic properties, which, in my view, should be protected. ( One Chase Manhattan Plaza is a designated landmark and will soon be filled with Chinese companies. The Waldorf Astoria is also a much treasured, Art Deco, designated landmark.)
I realize we may end up in a dystopian society, speaking Chinglish, as per Aldous Huxley. But we should at least make an attempt to protect our culture and history.
In my bumbling opinion,
Pissed off Genie