New York's landmark Plaza Hotel is getting a $350 million makeover from its new owner, the real estate investment and development firm Elad Properties.
The resulting mixed-use project will offer New Yorkers 160,000 square feet of new retail, with luxury European brands taking a large chunk of the spaces. The leases are still being worked out — Elad expects the last of them to be signed by March — but the new Plaza will include a 7,700-square-foot French spa and at least two newcomers to the U.S. market. Rents at the property will range from $350 per square foot to $1,400 per square foot.
“We are going to get a tremendous amount of traffic from tourists, as well as from hotel guests,” says Andrew Hinkley, vice president of retail development with Elad.
In addition to retail, the renovated Plaza will include 182 residential units and 282 hotel units, of which 152 will be hotel condominium residences available for sale. The hotel and residential portions of the property will open at the beginning of 2007.
Elad Properties bought the 99-year-old Plaza from Saudi Prince Alwaleed bin Talal bin Abdulaziz Al-Saud and Millennium & Copthorne Hotels in 2005 for $675 million.