New York Four Seasons hotel did not reopen after COVID could remain closed for another FOUR YEARS

New York’s once-iconic Four Seasons hotel, which has remained closed since the pandemic began, shows no signs of reopening with its billionaire owner amid a dispute with the hotel chain over paying franchise fees.

The 54-story building, located on 57th Street in Manhattan on what is colloquially known as Billionaires’ Row for its series of luxury skyscraper apartment buildings, stands abandoned with metal barricades blocking the ‘main entrance.

The facade of the hotel is covered with brown paper and advertising posters.

The fact that the Four Seasons has not reopened means that it is an outlier compared to its luxury rivals, including the Ritz-Carlton, the Lotte New York Palace Hotel, the St. Regis, the Carlyle Hotel and the Mandarin Oriental, New York, all of which reopened over a year ago and are taking advantage of the upsurge in luxury travel.

New York’s Four Seasons Hotel is still closed more than a year after other luxury hotels in Midtown Manhattan reopened

City records detail how the iconic hotel was not making a profit in 2018 and 2019

City records detail how the iconic hotel was not making a profit in 2018 and 2019

The Four Seasons hotel has not reopened, which means it is the exception compared to its luxury rivals, including the Ritz-Carlton, the Palace, the St. Regis, the Carlyle and the Mandarin Oriental, all of which reopened over a year ago.

The Four Seasons hotel has not reopened, which means it is the exception compared to its luxury rivals, including the Ritz-Carlton, the Palace, the St. Regis, the Carlyle and the Mandarin Oriental, all of which reopened over a year ago.

But 78-year-old Four Seasons owner billionaire Beanie Babies founder Ty Warner refuses to budge.

Four Seasons, which operates more than 100 hotels worldwide under the flag, does not actually own them and instead relies on different owners to operate them.

The Four Seasons website says the property is “temporarily closed as it undergoes major infrastructure and maintenance work that is expected to last through 2022,” but locals working nearby said it is not. there was no evidence that any work was taking place inside.

The hotel first closed its doors to paying guests in March 2020 when it offered free accommodation to medical workers battling on the front lines of the coronavirus pandemic.

Owner Ty Warner, 78, who founded Beanie Babies is in dispute with Four Seasons over paying franchise fees

Owner Ty Warner, 78, who founded Beanie Babies is in dispute with Four Seasons over paying franchise fees

Warner bought the building in 1999 for $275 million with money earned from his Beanie Babies empire that made him a fortune of $3.8 billion.

Warner bought the building in 1999 for $275 million with money earned from his Beanie Babies empire that made him a fortune of $3.8 billion.

Warner, which earned an estimated $3.8 billion in the 1990s from the success of the Beanie Babies plush toy, would refuse to pay maintenance fees that must be paid whether the hotel is making a profit or not.

Warner has so far denied the request, suggesting instead that the fee be adjusted based on the hotel’s profits.

“It’s clear that Four Seasons and Ty Warner are very much at odds with each other, which makes it difficult to come to an agreement and move forward,” a source told The Daily Mail. New York Post.

“Ty didn’t like the way Four Seasons was running the hotel because he wasn’t making any money and that was the genesis of the whole argument between them,” said August Ceradini, who ran the neighboring St. Regis. . “From what I understand of Ty Warner’s personality, he won’t stop until he gets what he wants.”

The hotel was charging more than $400 a night when it opened in the late 90s, with the rate reaching around $1,000 a night before the pandemic.

Interior views of the Four Seasons Hotel New York at 57 E. 57th Street in Manhattan

Interior views of the Four Seasons Hotel New York at 57 E. 57th Street in Manhattan

Patrons of The Garden restaurant dined under the African acacia trees, browned by the heat of the sun

Patrons of The Garden restaurant dined under the African acacia trees, browned by the heat of the sun

Ty Warner’s 4,300 square foot penthouse suite is reportedly going for $50,000 a night. The suite offers 360 degree views of the city from four glass balconies and is considered one of the most expensive in the world.

Yet city records detail how the hotel was still not making a profit in 2018 and 2019.

So far, the back-and-forth between Warner and the Toronto hotel group has been going on for 18 months, however, the negotiations are taking place in secret and have not been made public.

Adding to the bizarre nature of the dispute, Warner owns the entire skyscraper, but seems happy to just wait.

Warner bought the building in 1999 for $275 million with money earned from his Beanie Babies empire. At the time, it was said to bring in $30 million in revenue a year, with the hotel earning the label “the most expensive hotel in New York.”

The 4,300-square-foot Ty Warner penthouse suite would cost $50,000 a night

The 4,300-square-foot Ty Warner penthouse suite would cost $50,000 a night

The suite offers 360 degree views of the city from four glass balconies and is considered one of the most expensive in the world.

The suite offers 360 degree views of the city from four glass balconies and is considered one of the most expensive in the world.

The architectural and artistic masterpiece rises 52 stories into the sky, offering four cantilevered glass balconies

The architectural and artistic masterpiece rises 52 stories into the sky, offering four cantilevered glass balconies

“It’s in limbo…he’s not selling the building,” another source said. The post office believing that the dispute could drag on for at least another four years.

“It’s not an owner in distress and Four Seasons has a management agreement and they’re at war. The owner is encumbered with a deal – he can’t throw them away and choose Rosewood or Dorchester,’ the source explained.

“To me, what’s more interesting is how people can have such an amazing asset and just have it sitting there.”

“There are few things that make an owner more upset than when the property isn’t generating any profit while the manager is being paid handsomely,” said Sean Hennessey, a professor at NYU’s Center of Hospitality.

In August, former hotel employees sued Warner and Four Seasons in federal court claiming they “deliberately blocked the reopening” to avoid paying millions of dollars in unpaid wages and severance.

Warner was sentenced in 2014 to two years probation for tax evasion. He maintained a secret offshore account in Switzerland but managed to avoid jail time for his philanthropic acts, a judge said at the time.

Four Seasons Hotels did not respond to requests for comment.

Warner was sentenced in 2014 to two years probation for tax evasion.  He maintained a secret offshore account in Switzerland but managed to avoid jail time for his philanthropic acts, a judge said at the time.

Warner was sentenced in 2014 to two years probation for tax evasion. He maintained a secret offshore account in Switzerland but managed to avoid jail time for his philanthropic acts, a judge said at the time.

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