A deal with IHCL was sealed after plans for restoring Sea Rock with help from leading luxury hotel brand Mandarin Oriental fell apart, sources state.

The five-star Sea Rock, which had 440 rooms, was known for its rooftop restaurant, the only revolving restaurant in Mumbai other than the Ambassador in Churchgate. It shut shop after it became one of the targets of the 1993 blasts that caused huge damage to the structure and a loss of Rs 9 crore for its earlier owners.

This was followed by a long-drawn property dispute until the Delhi-based Claridges Group bought it. It was to be reopened in 2009 as a five-star deluxe in collaboration with Mandarin Oriental. The company had announced plans to have 300-plus rooms, commercial and retail space and service apartments in the redeveloped property.

An IHCL spokesperson said, “Indian Hotels Company Limited has entered into a strategic arrangement with Delhi-based Claridges Group that owns Sea Rock to provide technical and management expertise for restoration, and operation of the hotel when the redevelopment of the property is completed.” The group, however, did not comment on the stake each party would have in the deal and other logistics involved in the restoration of the hotel, which will now be reopened in 2011 as The Claridges.