Navigate this market better. Subscribe for FREE stock alerts and information.

Monday, February 9, 2015

China's Sunshine Insurance buys Manhattan hotel for $230 mln, (NYSE: HOT)

China's Sunshine Insurance will purchase Manhattan's luxurious Baccarat Hotel from Starwood Capital Group LLC for $230 million, equivalent to more than $2 million per room, the insurance company said in a statement on Monday. The Beijing-based insurer's statement confirmed the deal size, initially reported by the Wall Street Journal on Friday. The paper said the valuation of more than $2 million per room was the most expensive hotel deal on record.The deal comes as Chinese companies embark on an overseas real estate buying spree. China's Anbang Insurance Group Co will purchase New York's famous Waldorf Astoria Hotel for $1.95 billion after U.S. regulators approved the transaction earlier this month.The Baccarat Hotel was built by Starwood Capital Group, founded by real-estate tycoon Barry Sternlicht who was previously the chief executive officer of Starwood Hotels & Resorts Worldwide Inc, the company behind upmarket hotel chains including the St. Regis, Westin and W Hotels.Starwood Capital Group declined to comment.

Starwood Hotels & Resorts Worldwide, Inc. (Starwood) is hotel and Leisure Company. Shares of HOT fell by 3.94% or $-2.94/share to $71.66. In the past year, the shares have traded as low as $68.53 and as high as $86.11. On average, 2268620 shares of HOT exchange hands on a given day and today's volume is recorded at 7755852.