Fairmont Hotels & Resorts Inc., has entered an agreement to manage the Plaza Hotel, which is currently undergoing a $350 million renovation and is presently closed.

When it reopens, which is now expected in early 2007, it will have 182 condominium apartments and 282 hotel units/keys.

Of the 282 hotel units/keys, 152 can be sold as "hotel-condos," in which purchasers will own part of the condominium entity and have the right to stay for up to four months a year in one of the units, all of which will be sold fully furnished.

Under the terms of the agreement, according to Shannon Lynch, a spokesperson for Elad Properties, which brought the hotel for about $675 million last year, Fairmont will manage both the hotel units and the condominium apartments.

Ms. Lynch said told CityRealty.com today that her company, Linden, Alschuler & Kaplan, has "received no information" that Prince Alaweed bin Talal of Saudi Arabia may be negotiating to buy back into the hotel in which he was a partner in the former ownership structure. The prince reportedly does has a relationship with Fairmont.

Fairmont announced that it was entered the agreement with Elad November 22.

The Plaza Hotel is one of the major landmarks of New York City and there was considerable controversy when it was acquired by Elad that too much of the hotel would be converted to apartments. Elad subsequently reduced the number of condominium units in its plan.

There was some confusion about how many hotel rooms it will have. Some reports mentioned a number higher than 282, but there were referring to labor union room counts as opposed to the number of hotel "keys," and as there are numerous suites the correct number, Ms. Lynch said, is 282.