President Hugo Chavez has ordered his government to buy a Hilton-run hotel on Venezuela’s Margarita Island.
Chavez issued a decree last week ordering the “forced acquisition” of the Margarita Hilton&Suites and its marina. The president’s order was reported by Venezuelan media Tuesday, after being published in the Official Gazette on Friday.
The decree clears the way for Chavez’s government to expropriate the hotel. It’s unclear how much Venezuela will pay or how soon.
Chavez last month hosted a summit at the hotel with leaders including Libya’s Moammar Gadhafi, and suggested the hotel could become the headquarters of a new bloc of African and South American nations.
The Venezuela-based company Inversiones Pueblamar CA, listed as one of the hotel’s owners, did not immediately respond to a request for comment. Another company listed as an owner, Desarrollos MBK CA, could not be reached for comment.
Officials at the McLean, Virginia, headquarters of Hilton Worldwide, which manages the hotel, did not immediately return a call and email seeking comment.
Margarita Island is one of Venezuela’s main tourist destinations, and the hotel has more than 300 rooms and suites, some 150 timeshares, plus restaurants, a casino, souvenir shops and a marina.
The decree said the resort, once expropriated, will fall under the government’s Tourism Ministry.
Chavez has carried out a series of nationalizations in recent years, buying up companies in sectors including telecommunications, electricity and construction. The government has also increased its ownership of hotels, although most in the country are still privately owned.
