Icahn hires property broker CBRE to sell Fontainebleau Las Vegas

Wed Nov 11, 2015 2:11pm EST
 
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(Reuters) - CBRE Group Inc (CBG.N: Quote) said it has been hired by billionaire investor Carl Icahn to sell Fontainebleau Resort Las Vegas, five years after taking control of the property.

The Wall Street Journal reported the sale earlier on Wednesday and pegged the deal value at about $650 million. (on.wsj.com/1ROu8ru)

Icahn, one of the industry's most closely watched activist investors, took ownership of the property in February 2010 after paying its bankrupt owner about $104.6 million in cash.

Fontainebleau, which was planned as a $3 billion project, filed for bankruptcy protection in June 2009 after lenders cut off access to nearly $800 million of construction funds.

Located on the north end of the Las Vegas Strip, Fontainebleau was meant to include a 63-story glass skyscraper and feature a casino, a convention center, restaurants and bars, and more than 3,800 guest rooms.

(Reporting by Arunima Banerjee in Bengaluru; Editing by Kirti Pandey and Anil D'Silva)

 
Billionaire activist-investor Carl Icahn gives an interview on FOX Business Network's Neil Cavuto show in New York February 11, 2014.  REUTERS/Brendan McDermid