Qataris to buy historic Parisian hotel in $440m deal

Qataris to buy historic Parisian hotel in $440m deal

Le Grand deal

Editor: Buro 24/7

Image: La Frange

The InterContinental Hotels Group (IHG) is set to sell its flagship Paris-based Le Grand hotel to a Qatari-backed investor

Constellation Hotels will buy the historic Le Grand hotel for $440 million – over the years the iconic destination has enjoyed many VIP visitors including Russia's last Tsar Nicholas II and British King Edward VII. The deal will see IHG continue to manage the hotel for up to sixty years. 

The sale is not expected to complete until at least next year and furthers IHG's strategy of selling its hotels and then managing them under contract. The shrewd method has seen the group return around $10 billion to shareholders since 2003, including a $750 million special dividend in May. 

The Qatari-owned Constellation will spend around 60 million euros on renovations for Le Grand Hotel. The group also recently purchased IHG's London Park Lane InterContinental and a 80 percent stake in its Barclay hotel in New York last year.