MUMBAI - Taj Hotels Resorts and Palaces announced today that it has sold the historic Taj Boston hotel to a consortium comprising New England Development, Eastern Real Estate, Rockpoint Group, Lubert-Adler, and Highgate. While this partnership will take over the ownership of the 90-year old, 273-key hotel, Taj Hotels Resorts and Palaces will retain its brand presence in Boston through a long-term management services agreement. Sentinel Advisors Pte Ltd worked closely with Eastern Real Estate in advising the buyers on strategy.
As part of the transaction, New England Development, Eastern Real Estate and Highgate will serve as asset managers, working closely with the Taj Hotels Resorts and Palaces team, Rockpoint Group and Lubert Adler. All current bookings for hotel rooms, restaurants and banquets will be honoured, and guests can continue to book the hotel through existing channels.
Taj Boston is central to the Back Bay skyline with its location on the Boston Public Garden and adjacent to the city’s premier retail district on the corner of Newbury and Arlington streets. The landmark hotel has the ambience of an elegant Boston townhouse, enhanced with traditional furnishings, crystal chandeliers, luxurious bedding and indulgent bath amenities. The 273 guestrooms include 44 exquisitely designed spacious suites, each featuring classic décor and a wood-burning fireplace.
Rakesh Sarna, MD and CEO, Taj Hotels Resorts and Palaces said that the sale was in line with Taj’s global business strategy: “The U.S. remains an important market for us and we are committed to our presence which we have built over the past decade in key cities like New York, San Francisco and Boston. We are excited about our relationship with our new partners, who are all recognized leaders in real estate development and have deep roots and expertise in this market. We will work together to ensure that the hotel will maintain unparalleled guest service standards of Taj while celebrating Boston culture and history.”
Stephen R. Karp, Chairman of New England Development, said “We are thrilled to join with Eastern Real Estate, Rockpoint, Lubert-Adler and Highgate in acquiring this legendary hotel property – located in one of the country’s most famous shopping districts. Taj Boston is an internationally acclaimed hotel due to its rich heritage, superb location and grand architecture. We look forward to making further improvements to this legendary hotel so it becomes the focal point of Boston’s cultural activities.”
About Taj Hotels Resorts and Palaces Established in 1902, Taj Hotels Resorts and Palaces is one of Asia's largest and finest group of hotels, comprising 100 hotels in 63 locations across the globe, including presence in India, North America, United Kingdom, Africa, Middle East, Malaysia, Sri Lanka, Maldives, Bhutan and Nepal. From world- renowned landmarks to modern business hotels, idyllic beach resorts to authentic Grand Palaces, each Taj hotel offers an unrivalled fusion of warm Indian hospitality, world-class service and modern luxury. For over a century, The Taj Mahal Palace, Mumbai, the iconic flagship has set a benchmark for fine living with exquisite refinement, inventiveness and warmth. Taj Hotels Resorts and Palaces is part of the Tata Group, India’s premier business house. For more information please visit www.tajhotels.com
About New England Development New England Development (“NED”) is one of the nation’s premier real estate development and management companies, led by Chairman Stephen R. Karp, Vice Chairman Steven S. Fischman, and President Douglass E. Karp. As part of NED’s national portfolio that includes retail, mixed-use, and hospitality assets plus marinas and golf courses, the company operates luxury hotels on Nantucket, MA, including the White Elephant Hotel and The Wauwinet. Both hotels are on the Condé Nast Traveler Gold List and are recipients of the Forbes Travel Guide Four Star Award. NED was also a major part of the team that developed the Westin Boston Waterfront Hotel adjacent to the Boston Convention and Exhibition Center. For more information, visit www.NEDevelopment.com.
About Eastern Real Estate Eastern Real Estate is a privately held commercial real estate firm with expertise in capital investment, real estate development, and asset management. Eastern specializes in adding value to complex real estate opportunities and has a long-standing track record of successful investing across multiple asset classes. Eastern was founded and is led by Principals Daniel J. Doherty III and Brian J. Kelly. For more information, visit www.eastern-re.com.
About Rockpoint Group Rockpoint Group, L.L.C. is a real estate private equity firm headquartered in Boston, with additional primary offices in Dallas and San Francisco. Since 1994, Rockpoint’s founding Managing Members with others have sponsored twelve commingled funds and related co-investment vehicles, raising over $17 billion in capital commitments and investing approximately $13 billion of equity in over 375 transactions with a total capitalization of approximately $49 billion. Rockpoint employs a fundamental value approach to investing in both its opportunistic and lower-risk strategies and focuses on select product types and geographic regions, with a primary emphasis on opportunities in major coastal markets in the United States. For more information, visit www.rockpointgroup.com.
About Lubert-Adler Lubert-Adler is a real estate investment company co-founded by Ira M. Lubert and Dean S. Adler in March 1997. Messrs. Lubert and Adler collectively have over 60 years of experience in underwriting, acquiring, repositioning, refinancing and exiting real estate assets. As of June 2016, Lubert-Adler has raised over $7.7 billion of equity and invested in over $18 billion of assets. The Lubert-Adler investment team consists of experienced professionals with strong backgrounds in real estate acquisition, asset management, distressed restructurings and capital markets. Since its founding, Lubert-Adler has distinguished itself through the combination of opportunistic acquisition philosophies, coupled with value enhancement programs, designed to create high-quality assets that seek to generate current yield at a favorable cost basis. For more information, visit www.lubertadler.com.