RREEF and Loeb Acquire Astor Crowne Plaza, New Orleans
SEPTEMBER 12, 2007. RREEF Real Estate, a part of RREEF Alternative Investments, the global alternatives asset management business of Deutsche Bank's Asset Management division, today announced a joint venture agreement with Loeb Partners Realty for the acquisition of the Astor Crowne Plaza Hotel in New Orleans. The joint venture will retain the Crowne Plaza franchise and Prism Hospitality LP, a national hotel management firm, has been installed as the day-to-day manager of the hotel.
Opened in 2002, the Astor Crowne Plaza is a 707-room hotel, located on the corner of Bourbon and Canal Streets. The hotel offers 27,500 square feet of meeting space, including outdoor balconies overlooking Bourbon Street, as well as 22,500 square feet of ground floor retail space. The joint venture's business plan will involve a substantial capital improvement program to upgrade the hotel.
'Our view is that New Orleans' lodging market will return to pre-Katrina levels within the next few years,' said Benjamin Young, a Managing Director with RREEF Real Estate. 'We believe now is the time to invest in the city's hospitality infrastructure and the Astor Crowne Plaza's prime position at the gateway to the French Quarter will be an advantageous location as New Orleans tourism recovers and the city returns to meeting planners' shortlist of top convention destinations.'
'It's an exciting time to acquire one of the top hotels in New Orleans,' said Nick Rizzo Managing Director of Loeb Partners Realty. 'One of our main focuses is to purchase quality yet undervalued investment properties throughout the US, so this acquisition is a perfect fit for us. We are excited to work in this great city, and happy to participate in its rebuilding process. In this respect, Loeb currently has investments in over 1,700,000 square feet of office and retail space in New Orleans.'
The Astor Crowne Plaza suffered relatively minimal damage from the 2005 hurricanes and did not flood. The new owners' equity infusion will be used to update the interior, improve the overall guest experience, and retain and add staff. The hotel will remain open during renovations.
Marriott International, Inc. (NASDAQ: MAR) is a global leading lodging company based in Bethesda,Maryland, USA, with more than 4,200 properties in 80 countries and territories. Marriott International reported revenues of nearly $14 billion in fiscal year 2014. The company operates and franchises hotels and licenses vacation ownership resorts under 19 brands, including: The Ritz-Carlton®, BVlgari®, EDITION®, JW Marriott®, Autograph Collection® Hotels, Renaissance® Hotels, Marriott Hotels®, Delta Hotels and Resorts®, Marriott Executive Apartments®, Marriott Vacation Club®, Gaylord Hotels®, AC Hotels by Marriott®, Courtyard®, Residence Inn®, SpringHill Suites®, Fairfield Inn & Suites®, TownePlace Suites®, Protea Hotels® and MoxyHotels®. Marriott has been consistently recognized as a top employer and for its superior business ethics. The company also manages the award-winning guest loyalty program, Marriott Rewards® and The Ritz-Carlton Rewards® program, which together surpass 50 million members. For more information or reservations, please visit our website at 
