CORRECTED-Chicago's Strategic Hotels to buy Essex House -source

Wed Aug 15, 2012 9:55am EDT

(In second paragrpah please read "sold by Dubai Investment Group" not Jumeirah, and in second paragrpah plese omit "Jumeirah's parent")

By Ilaina Jonas

NEW YORK Aug 14 (Reuters) - Strategic Hotels & Resorts Inc has agreed to buy the well-known New York hotel Jumeirah Essex House for about $375 million, a source familiar with the matter said on Tuesday.

The deal for the 509-room Art Deco hotel on Central Park South was sold by Dubai Investment Group and is expected to close within a month, the source said.

Dubai Investment Group bought the Essex House in 2005 for $423.9 million, according to real estate research and information company Real Capital Analytics. Jumeirah then spent about $90 million to refurbish it, the hotel said on its website.

(Reporting By Ilaina Jonas; editing by M.D. Golan)