Mumbai, Nov. 10: Tatas-promoted Indian Hotels Corporation Ltd (IHCL) and its subsidiaries, collectively known as Taj Hotels Resorts and Palaces, have acquired the Ritz-Carlton Boston from its current owners Millennium Partners for $170 million.
The transaction is scheduled to close on January 11 next year. The hotel will be renamed the Taj Boston upon closure of the purchase.
“The Ritz-Carlton is one of New England’s finest hotels and a premiere social address in Boston. We are delighted to extend our presence in the United States with this renowned hotel. Its rich heritage, superb location and grand architecture make it an ideal fit for Taj. We are thrilled to be able to bring to Boston the service and style that have made Taj hotels a favourite among discerning travellers throughout the world. The addition of this hotel to Taj Hotels’ growing international portfolio reiterates our commitment to establishing a significant presence for the Taj Hotels Resorts and Palaces brand in key destinations across the globe,” Raymond Bickson, managing director and CEO of IHCL, said in a statement today. David M. Gibbons has been named as the new general manager for Taj Boston.
“This is an extraordinary opportunity to bring the Taj brand of luxury and service to a building that already has a sterling reputation for refinement and taste. I think Taj Boston is going to be a very nice fit for this city and region, and I’m thrilled to be on board,” Gibbons said in a statement here.
Galileo Global Advisors, a New York-based firm, advised Taj in this transaction. The Tata group had acquired the management of Pierre Hotel in Manhattan in July 2005.
Recently, the group entered into a joint venture with the Hong Kong-based realty and hospitality company, the Sino group, to tap opportunities in the Far East. Taj and Sino will develop luxury as well as three-& four-star hotels in China, Vietnam and India.
Ritz-Carlton, which has 273 rooms, is located next to the famous Boston Public Garden and the city’s premiere retail district. In 2002, The Ritz-Carlton completed a $50-million restoration and refurbishment plan. The purchase will not result in any job loss or large-scale personnel changes, they said.
“Everyone is aware of the elegance and class that has distinguished The Ritz-Carlton, Boston. We are focused on making the Taj Boston experience a wonderful event for generations to come,” Bickson added.