InterContinental Sells Seven Hotels for $740 Million

InterContinental Hotels Group PLC is to announce the sale of seven hotels in continental Europe to Morgan Stanley Real Estate Fund for about $740 million, according to The Times of London.

The best-known of the seven InterContinental-branded hotels that Morgan Stanley is acquiring is the Carlton in Cannes, on the French Riviera. The others are in Amsterdam, Budapest, Rome, Frankfurt, Madrid and Vienna, the newspaper said.

As part of the deal, IHG will retain a long-term management contract to continue running the properties. Morgan Stanley has also agreed to re-flag a hotel that it owns in Australia as an InterContinental, with IHG taking over the management. Similarly, a hotel it owns in Japan may become a Crowne Plaza.