Chemical Banking Corp. is reportedly close to selling a 629 room New York hotel for about $100 million to CDL Hotels International, a Singapore based chain.
Hotel Macklowe, located near Times Square, was turned over to the bank earlier this year by developer Harry Macklowe in order to avoid foreclosure.
A bank spokesman would not comment on the deal, which was first reported in the New York Post.
He estimated, however, that the bank has saved more than $1 billion, because it chose to sell problem assets one by one rather than in bulk sales.
Now that real estate prices are recovering, he added, the bank has said it is marketing a portfolio of 80 real estate loans in what he described as a mini bulk sale.
Chemical's nonperforming real estate assets peaked in September 1992 at $3.08 billion. By June 30 that total had been reduced by 52% to $1.47 billion.
In the same period, nonperforming real estate loans were reduced by 52%, to $819 million from $1.76 billion.
CDL is' among a number of groups from Asia that have become sources of capital for U.S. real estate this year.
It also paid $78 million for the Millenium Hotel, previously owned by the developer Peter Kalikow, who filed for bankruptcy protection several years ago.
In all, CDL controls 29 hotels. The properties are primarily in Southeast Asia, but CDL has also invested in the New York and London markets.