Shangri-La pulls out of Chicago
Asia’s luxurious hotel operator has officially stopped the further development of the Chicago property which was announced as its first US property in October 2005.
chicagorealestatedaily.com reported Shangri-La’s statement: “Under the current economic environment, regrettably, the implementation of the hotel project has been suspended with no indication of when activities will resume,” “Accordingly, (Shangri-La’s U.S. subsidiary), in exercise of its contractual rights under the agreements, has served a notice on the developer terminating its contracts relating to this project.”
The property was scheduled to open late 2009, however earlier this year there were already clear signs that a severe delay was expected. Now the plans are officially off the table.
Chicago-based Teng & Associates Inc. was not available for comments.
Earlier this year the Hong Kong based company pulled the plug for the NYC development for various reasons.
According to several newswires, Shangri-la is not the only one to walk away from the NYC hotel scene, Orient-Express Hotels from London pulled out of their NYC development last month as well.
Shangri-La Hotels & Resorts doesn’t slow down their expansion drive with the recent signing of a new hotel in Moscow, Russia and opening of a resort in the Maldives.
The company also remains committed to its expansion plans in North America with the recent succesful opening of Vancouver Shangri-La.
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