Dive Brief:
- A partnership between investment firms Gencom and Argent Ventures, as well as hotel management company Highgate, acquired the 607-key InterContinental New York Times Square hotel in Midtown Manhattan from sellers Tishman and MetLife Investment Management, according to a release obtained by Hotel Dive.
- The acquisition — reportedly priced at $230 million, per The Real Deal — will see the luxury hotel convert from IHG management to an IHG franchise, with Highgate assuming management responsibilities. The property will undergo renovations to its guest rooms, public spaces and dining venues in order to “elevate the guest experience and meet the highest standards of luxury hospitality,” according to the release.
- The deal comes after the luxury segment bolstered Manhattan’s hotel performance in the first half of 2025, according to findings from PwC. While a wealth bifurcation is at play across the hotel industry, luxury assets will be a top opportunity for hotel investors in 2026, executives shared earlier this week.
Dive Insight:
The transaction follows Gencom’s 2024 acquisition of the Thompson Central Park Hotel in New York City, further expanding the firm’s presence in the market.
“As Gencom’s second hotel acquisition in New York City in the past 18 months, this transaction underscores our confidence in the long-term strength and global appeal of this destination,” Karim Alibhai, founder and principal of Gencom, said in the release.
In Manhattan specifically, overall RevPAR was up 7.1% year over year in the first half of 2025, according to PwC data. The lodging market got a boost from luxury hotels, which saw RevRAR gains of 10.1% year over year during the half. That growth followed solid hotel performance results in the H2 2024, as the market continued to “move toward stabilization,” PwC reported in March.
Argent Ventures and Highgate are similarly bullish on New York City’s hospitality landscape, having recently teamed up on the conversion of Crowne Plaza Times Square into the Hyatt Regency Times Square.
“Highgate is thrilled to complete another significant investment in New York, and to partner with Gencom and Argent Ventures,” Zach Berger, principal at Highgate, said in the release. “Highgate has invested in New York across multiple cycles and multiple asset classes, and remains committed to fielding a best-in-class operating team in the market.”
The InterContinental New York Times Square — currently offering 20,000 square feet of meeting space, a signature restaurant, a Shake Shack and a 24-hour fitness center — joins Gencom’s hospitality portfolio alongside other luxury brands such as The Ritz-Carlton, Four Seasons Hotels and Resorts, St. Regis, Andaz, Fairmont and Auberge Resorts.
Luxury assets, particularly in urban markets, will remain desirable to investors in 2026, as high-end travelers continue to spend while their lower-earning counterparts tighten budgets, hospitality executives told Hotel Dive earlier this week.
Earlier this week, Highgate CEO Arash Azarbarzin transitioned to lead the company’s luxury lifestyle hotel brand Viceroy Hotels & Resorts.
