Magic Johnson fund buys stake in hotel |
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Thu, 31 May 2007 23:54
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LOS ANGELES (AP) - An investment fund partly owned by former NBA superstar Earvin 'Magic' Johnson has teamed up with a real estate company to purchase the Hilton Washington hotel from Hilton Hotels Corp. for $290 million, the companies said Thursday.Johnson's Canyon-Johnson Urban Fund and Los Angeles-based Lowe Enterprises Investors signed a long-term agreement with Hilton Hotels to manage the hotel, which has played host to world leaders and others visiting the U.S. capital since opening in 1965.Canyon-Johnson and Lowe have also agreed to invest more than $100 million to renovate the hotel beginning in the third quarter, the firms said.The 1,119-room hotel occoupies five acres in the trendy Dupont Circle neighborhood.The deal gives Canyon-Johnson a majority stake in the hotel. The fund is a joint venture between Canyon Capital Realty Advisors and Johnson.Shares of Beverly Hills-based Hilton Hotels rose $1.09, or 3.2 percent, to $35.55 on Thursday.Copyright 2007 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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Famous piece of Hollywood up for sale 