On June 15, 2011, Northland Properties Corporation completed the acquisition of the Sutton Place Hotels in Vancouver and Edmonton from Hong Kong businessman Christopher Ho's Sutton Place Grande Limited for an aggregate purchase price of $197,500,000. The “Sutton Place” brand was included in the transaction. While the two other existing Sutton Place hotels in Toronto and Chicago will retain the right to use the “Sutton Place” name for the time being, those properties were not included in this transaction.
Northland Properties Corporation is privately owned by the Gaglardi family of Vancouver. It owns the 45 property Sandman Hotels, Inns and Suites and Sandman Signature Hotels and Resorts chain as well as Moxie's Classic Grills, Chop Restaurants, Denny's Canada, Rockford Restaurants and Revelstoke Mountain Resorts.
The company's plan is to grow the Sutton Place brand in the coming years.
Northland's in-house legal counsel, Bernie Malach and Rob Toor, represented the buyer in the transaction. Tax advice was provided to the buyer by John Gregory of Thorsteinssons LLP.
Northland's financing for the purchase was provided by HSBC Bank Canada and BCMP Mortgage Investment Corporation. HSBC was represented by Michael Kalef and Leslie Tucker of Koffman Kalef LLP in Vancouver and Frank Niziol of Parlee McLaws LLP in Edmonton. David Kington of Clark Wilson LLP in Vancouver represented BCMP.
Russell Benson led the seller's legal team at McCarthy Tétrault LLP that also included John Pearson, Christopher Falk, Conrad Rego, Jennie Hayes, Stephanie Morand, Troy Lehman, Vincent Yip, Beth Macdonald and Christopher McHardy.
The transaction also involved modifications to the seller's existing financing with the Maxam Capital Group, represented by John Morrison and Dorothy Wong of McMillan LLP's Vancouver Office.