Anbang Gets U.S. Approval for $1.95B Waldorf Buy

China’s Anbang Insurance Group announced this month that its previously-announced agreement to buy New York’s Waldorf Astoria Hotel for $1.95 billion from Hilton Worldwide Holdings Inc. has been approved by U.S. regulators.

The Beijing-based Anbang said on Feb. 2 that its acquisition of the Waldorf Astoria has been formally approved by the Committee on Foreign Investment in the U.S. At this point, the transaction has formally completed all relevant procedures, according to the announcement.

The deal, first announced last October, reportedly raised some potential security concerns because the iconic hotel serves as a residence for the U.S. ambassador to the United Nations and regularly hosts U.S. diplomats.

Hilton Worldwide issued its own statement on Feb. 11, announcing that it has closed its sale of the Waldorf Astoria to Anbang. Hilton said it will continue to operate the Waldorf Astoria under a 100-year management agreement.

The deal’s closing comes on the heels of another New York hotel acquisition by a Chinese insurer. Starwood Capital said on Feb. 9 that it is selling its new Baccarat Hotel in New York City to an affiliate of Sunshine Insurance Group. The Wall Street Journal reported that the Beijing-based Sunshine Insurance would pay more than $230 million for the 114-room hotel, which is scheduled to open its doors in March.