Bill Gates, whose investment firm Cascade Investment Inc. is a
co-owner of the luxury-hotel operator Four Seasons, is raising his
stake in one of the bigger owners of high-end lodging
properties.
Cascade disclosed in a regulatory filing on Monday it had
acquired 1.7 million shares of Strategic Hotels & Resorts Inc.
for $21.5 million in recent months. That brings Cascade's stake in
the hotel real-estate investment trust to 9.8%, the filing said.
Cascade owned 9.2% of the REIT at the end of 2014.
Strategic Hotels owns many luxury hotels, including the Essex
House overlooking Manhattan's Central Park and the Hotel del
Coronado in San Diego. The company recently began a review of
strategic alternatives, including a possible sale of the company,
said people familiar with the matter.
"Cascade is a major shareholder and we are open and available to
talk to them," said Raymond Gellein, Strategic's chief executive
officer.
Shares of Strategic were up 3.1% to 13.63 in Monday trading.
Write to Craig Karmin at craig.karmin@wsj.com
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