HOTELS: Co-Op Coup

The "cooperative plan," used by landlords to unload hundreds of apartments on tenants at fat profits, last week turned up in the hotel business. Arnold Kirkeby, who has an eleven-hotel chain, announced a plan to turn Manhattan's elegant, 492-room Hampshire House into a coop, and thereby make a pretty penny. Kirkeby's company bought Hampshire House two years ago for $3,550,000 and later borrowed $3,350,000 on it. So far it has earned him less than $700,000 before taxes, which makes Kirkeby think "we are not making much headway."

Under his plan, rooms and...

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