Millennium & Copthorne Hotels plc agrees to buy, develop Ginza property for $246m

Millennium & Copthorne Hotels plc says one of its subsidiaries has entered into a conditional sale and purchase agreement with Cosmos Initia Co. to acquire a site (containing land and a building) in the Ginza district in Tokyo.

The new development will consist of a hotel premises which will be managed by Mitsui Fudosan (MFC) under a fixed-term master lease.

M&C’s current estimate of the total investment cost for the proposed acquisition and development of the property is ¥14.56 billion ($246 million) or ¥45 million per room key for hotel on a completed basis.

M&C’s will take a 70.01% stake in the project while parent company City Developments will hold a 29.99% stake.