BRUSSELS— The European Union Commission today cleared a consortium led by Lehman Brothers to buy 73 of the 76 U.K. hotels owned by the InterContinental Hotels Group. Lehman Brothers Real Estate Partners, along with the Canadian Realstar Asset Management and GIC Real Estate, which is controlled by the Government of Singapore, will together be paying about GBP1 billion for the hotels. IHG has proposed to return GBP1 billion to shareholders upon completion of the sale. The sale comes as part of IHGs strategy to turn itself into a brand-based hotel management company. Since April 2003, the company has sold or agreed to sell 121 hotels with proceeds of GBP1.75 billion. IHG will continue to manage the hotels for 20 years under its own brand name. The 12,841 bedrooms being purchased include four Crowne Plaza hotels, 68 Holiday Inns, and one Express by Holiday Inn.
