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CoStar InsightAman New York Opens Amid Return to Strong Hospitality FundamentalsNew Urban Resort Pushing Prices for Ultra-Luxury Rooms in the Big Apple
The 117,000-square-foot hotel is located within this converted office tower, originally built in 1921 on six-tenths of an acre in Manhattan's Midtown West/Times Square hospitality market. (CoStar)
The 117,000-square-foot hotel is located within this converted office tower, originally built in 1921 on six-tenths of an acre in Manhattan's Midtown West/Times Square hospitality market. (CoStar)

More than five years after the project was announced, the Aman New York opened August 2. The ultra-luxury city hotel, located at 730 Fifth Ave., joins the Amangani in Wyoming and Amangiri in Utah as the brand’s third property in the United States, with two additional properties tentatively planned for Miami and Beverly Hills in the coming years.

Aman has 34 properties worldwide and is known for its elegant resorts in luxury destinations. Its New York City property is located within the 100-year-old Crown Building, a 25-story, 390,000-square-foot converted office building at the corner of 57th Street and Fifth Avenue.

The hotel is certainly pushing the upper limits of pricing, even in the expensive New York City hospitality market. Aman New York lists entry-level guestrooms on its website for $3,400 to $4,500 per night, with its largest suites listed for upwards of $20,000 a night. In addition to the 83 guest suites, the Aman New York features 22 private residences, including a five-story penthouse.

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1 Min Read
July 14, 2022 02:30 PM
Andria Cheng
Andria Cheng

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To go along with its hefty price tag, the hotel offers a host of luxury guest amenities, such as a 25,000-square-foot spa and wellness center spread over three floors that includes an indoor pool. The top floor of the spa features a medical practice that is designed to prescribe wellness immersion programs provided by the hotel.

The property also features two restaurants on the 14th floor: Arva, which serves Italian cuisine, and Nama, which features Japanese cuisine. There is also a 7,000-square-foot terrace bar off the lobby and a subterranean jazz club.

The property also houses the Aman Club, a private social club that now reportedly costs $200,000 in initiation fees and annual dues of $15,000.

The hotel’s opening coincides with a recent uptick in revenue per available room, or RevPAR — an industry standard metric of hotel performance, across the city's luxury hotel class.

Average daily rates, or ADR — measuring the average rental revenue earned for an occupied room per day, exceeded 2019 levels in every month this year since February. In New York City, June 2022 ADR for luxury hotels came in at $571, which is 29% higher than the city's ADR for June 2019, according to STR, CoStar's hospitality data analytics firm.

The luxury segment continues to lead New York’s hotel recovery.

Year to date through June, the luxury segment has had the strongest RevPAR recovery, according to data from STR. Half of the city's luxury hotels exceeded their 2019 RevPAR, and 95% of luxury hotels exceeded their 2019 ADR for the same month.

The luxury class is the only hospitality sector in New York City that has fully recovered, exceeding 2019 RevPAR through June, according to STR. Year-to-date RevPAR in June was $321, representing 2% growth over June 2019 figures.

The Aman New York's debut could further propel the city’s luxury segment price point, and likely boost the market's overall RevPAR recovery.