Plaza Hotel's US$600m deal may go ahead with new buyers

New York

ASHKENAZY Acquisition Corp and Saudi Prince Alwaleed bin Talal's Kingdom Holding have exercised a right of first refusal to match a US$600 million offer for New York's Plaza Hotel, in a move that would scuttle another group's agreement to buy the property, according to a person with knowledge of the matter.

Ashkenazy and Kingdom have less than two weeks to come up with a deposit and proof of funds for the total or their deal will be cancelled, said the person, who asked not to be identified because the details of the deal are private. A cancellation would reinstate the earlier agreement, signed by Shahal Khan and Kamran Hakim, the person said.

Last week, Mr Khan, founder of Dubai-based family office White City Ventures, and Mr Hakim of New York landlord Hakim Organization had agreed to pay US$600 million for the hotel in a deal that was set to be completed on June 25. BLOOMBERG