New World selling Rosewood London: report

LONDON – After first reporting in early December that softening Hong Kong real estate values were negatively impacting New World Development Co.’s net debt comes news from Bloomberg that states the owning Cheng family has put one of its two Rosewood hotels in London up for sale.

A spokesperson at Rosewood Hotel Group told Bloomberg that its brands are not up for sale and all its properties remain fully operational.

Earlier this year, the Cheng family was reportedly looking for a partner to match a potential capital injection of about HK$10 billion, but talks stalled, according to sources.

The Cheng family’s CTF Development, which owns the London property in the Holborn district, previously tried to sell the hotel in 2016 when it was valued at £450 million after paying £135 million for the then Chancery Court hotel in 2006.

After an £85 million renovation, the Rosewood London opened in 2013 with 264 rooms, 44 suites, 11 event spaces and the Holborn Dining Room restaurant.

The group currently has 58 Rosewood properties and in September of this year opened its second London property, the 144-suite Chancery Rosewood, set within the former U.S. embassy on Grosvenor Square.