Starwood Capital Group Global, L.L.C. (“Starwood Capital”), a closely held real estate investment firm based in Greenwich, Connecticut, has announced that its controlled affiliate, in a 50/50 joint venture with an affiliate of Lehman Brothers (“Lehman”), has acquired the owned and leased hotel portfolio of Le Meridien Hotels and Resorts (“Le Meridien”).
Within the same transaction, Starwood Hotels & Resorts (“Starwood Hotels”) has acquired the Le Meridien brand, management and franchise business from Le Meridien. Starwood Hotels has also entered into management agreements for the owned and leased Le Meridien properties to be acquired by Starwood Capital and Lehman with such hotels continuing to be operated under their current flags. Starwood Capital and Lehman anticipate selling several agreed upon hotels unencumbered by brand affiliation in the near future.
The owned and leased portfolio is made up of 32 luxury, four/five star hotels located primarily across Europe but also in North America, Africa, and South America. With properties in business, leisure, and resort markets, it includes such assets as the Le Meridien Dona Filipa and Le Meridien Penina Golf & Resort properties in the Algarve. Overall, the portfolio consists of over 8,000 hotel rooms in 16 countries.
In 2003 Starwood, in partnerships with affiliates of Goldman Sachs & Co., acquired National Golf Properties/American Golf Corporation, the largest owner/operators of golf courses and related facilities in the U.S
Starwood Hotels www.starwoodhotels.com