Could the ultra-rich save NYC's glitziest hotels? The Mark, where Meghan Markle had her baby shower, says it has cash to operate for TWO YEARS at only 50% capacity because of the 'super-luxury' market and jacks up room prices 20% to $1,300 a night
In New York City's decimated hospitality sector, The Mark hotel stands out as one bright spot, claiming that it can rely on business from the ultra wealthy to stay afloat for two years at just half capacity.
After facing foreclosure in May, ownersAlexico Group hammered out a deal with creditors and have raised average room prices by 20 percent, to $1,300 a night, putting them on solid financial footing, Bloomberg reported.
The ritzy Upper East Side hotel, which hosted Meghan Markle's lavish $500,000 baby shower in February 2019, is now banking on high-rolling guests to remain open.
'I don't think people who are visiting New York right now are very price sensitive,' Izak Senbahar, Alexico's president, told the outlet. 'You either need to be here or you don't, and in the super-luxury segment, we're the only game in town.'
Food and beverage service, running at about 75 percent of pre-pandemic levels, has been a major revenue driver for the hotel.
The hotel's restaurant by star chefJean-Georges Vongerichten has been offering outdoor dining, drawing both locals and visitors looking for an upscale dining escape.
Cocktails start at $21, the grilled lamb chops run $56, and the lobster costs $63 at the upscale restaurant.
Although the hotel is currently at about 50 percent capacity, with many of its $8,000 suites sitting empty, its owners believe they can survive for two years on current revenue levels.
'It's not a pretty picture overall,' said Senbahar said. 'But we're generating cash, paying our bills and employing 210 people. That's really an upbeat mode for us.'
It comes as other Manhattan mainstays face an uncertain future.
On Monday, The Grand Central Oyster Bar shuttered its doors just 12 days after reopening for the first time in months, with staffers saying new 25 percent indoor seating capacity just won't cut it.
周一，中央牡蛎酒吧(Grand Central Oyster Bar)在重新开业仅12天后就关门了，这是几个月来的第一次，工作人员表示，新的25%的室内座位容量不会减少它的数量。
And last week,The Roosevelt Hotel in Midtown announced that it will shut down for good by the end of this month.
'Due to the current economic impacts, after almost 100 years of welcoming guests to The Grand Dame of New York, The Roosevelt Hotel, is regretfully closing its doors permanently as of Oct. 31, 2020,' the hotel said on its website.
The Roosevelt, which was first opened on September 23, 1924, was owned by Pakistan International Airlines and operated by the United Hotels Company.