Dubai Firm Buys Times Square Hotel for $300 M--(and more)

From the new World Media Watch up now at http://www.zianet.com/insightanalytical
Tomorrow at Buzzflash.com

Summaries of other stories in my Journal


5/The Daily Star, Lebanon Monday, June 05, 2006

http://www.dailystar.com.lb/article.asp?edition_id=10&categ_id=3&article_id=24959



DUBAI FIRM BUYS TIMES SQUARE HOTEL FOR $300 MILLION

By Agence France Presse (AFP)

DUBAI: A Dubai government-owned firm said Sunday it had bought the Knickerbocker Hotel in New York's Times Square for $300 million, shortly after acquiring New York-based retail chain Loehmann's. Istithmar Hotels, which has investments at home and abroad, said the classic, Beaux Arts-style hotel, converted into an office property in the 1950s, would be converted back into a five-star hotel.



"Knickerbocker is a premier property in one of the worlds most recognized locations," said Muneef Tarmoom, chief executive officer of parent company Istithmar.



"Located in the heart of Manhattan on the southeast corner of Broadway and 42nd Street, it is today also known as 6 Times Square. Built in the early 1900s, Knickerbocker was one of midtown's premier hotels and one of the tallest buildings on Times Square," the company said in a statement.



Istithmar said on May 20 that it had acquired Loehmann's, a 60-store chain specializing in designer women's and men's apparel at discount prices, for $300 million from Atlanta-based private equity firm Arcapita. Loehmann's, which was founded in 1921, was forced into bankruptcy protection in 1999 after over-expanding and embarked on a restructuring program. The then-publicly listed company was bought by Arcapita in 2004 for $178 million and turned private.

Istithmar's purchase of US interests comes on the heels of the recent controversy that surrounded the acquisition of British shipping giant Peninsular and Oriental Steam Navigation Company earlier this year by Dubai Ports World (DP World), another government-controlled company.



(SNIP)



Dubai Investment Group, part of state Dubai Holding, purchased the Essex House Hotel in Manhattan last September. The hotel is now operated by Dubai Holding's hotel arm, the Jumeirah Group.

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A foreign company is going to buy a hotel in New York. So what! Are you suggesting that congress should be making sure that no foreign based company is allowed to purchase anything in the US?

The same goes for the reverse, no American ownership in any foreign countries. I see nothing wrong with it and it makes perfect sense and prevents a load of problems.

and making them illegal would surely prevent a load of problems, but I wouldn't suggest that it should be made law. I guess that's where we differ. I for one would be very disappointed if this policy were to become law. I know several restaurants that would be put out of business.

It seems that all our domestic real estate tycoons could do with it was to use it as yet another office building.

US investors and architects keep building ugly glass rectangles while demolishing historic structures. For this I must say, thanks Dubai.

american real estate.

Stop waisting your money on land Dubai, put money in a real investment - buy a baseball team! Just imagine, the Dubai Giants!

The possibilities are endless