Sales  ·  Hotels

Sam Chang Picks Up Club Quarters Hotel Wall Street for $95M


Hotelier Sam Chang is so happy with his summer purchases of two Club Quarters hotels from Rockwood Capital that the two sides have done it again.

Chang’s McSam Hotel Group sealed a $95 million deal yesterday for the 289-key Club Quarters Hotel Wall Street at 52 William Street at Pine Street, Chang told Commercial Observer. The acquisition was funded with a $60 million loan from Aareal Capital Corporation and a $12 million loan from NorthStar Realty Finance.

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“We bought two in Midtown,” Chang said. “We like it so much we bought a third Downtown.” He added: “We like the concept. It’s a steady cash flow.”

The 20-story hotel is 119,467 square feet and was erected in 1901, according to CoStar (CSGP) Group. Rockwood purchased it in July 2006 for $92.1 million, property records indicate. The Bailey Pub & Brasserie occupies a 10,700-square-foot retail space in the hotel.

In August, McSam Hotel Group paid $253 million for Club Quarters Hotel at 25 West 51st Street and Club Quarters Hotel Midtown at 40 West 45th Street from Rockwood Capital, as CO previously reported.

JLL’s Jeffrey Davis negotiated the sale for Rockwood, and Chang had no brokers in the deal. Davis declined to comment.