CDL Hotels International will buy the 225-room Chelsea Hotel in London for $299.25 million through its new, wholly owned subsidiary CDL Hotels (Chelsea).
The name of the seller was not given but the company yesterday described it as certain independent parties.
A deposit of $29.93 million, 10 per cent of the property's price, has been paid and the agreement is expected to be completed within 28 days.
The deal puts the value per room of the hotel at $1.33 million. It is in Sloane Street, within the famous shopping district of Knightsbridge in central London.
The four-star and 14 storeys high hotel was built in 1974. It has a 120-year lease.
It is being bought on a vacant possession basis. It is not subject to a management contract, but the existing management and staff will be employed at the end of the sale.
The acquisition will be funded from internal resources and bank borrowings.