Source: DuPont taking bids for hotel, country club

DuPont Co. is taking bids for the Hotel du Pont and the DuPont Country Club, according to a source familiar with the process.

The chemical company, which owns the 102-year hotel and suburban golf course, would not confirm if the properties were for sale or seeking new management.

"We don't comment on rumors or speculation," said company spokesperson Dan Turner.

But the company said earlier this month it was open to the possibility of parting ways with the properties.

"DuPont continually reviews its portfolio of assets to determine ways to increase shareholder value," Turner said.

Although little is known about the bidding process, the source said bids had been due by Wednesday.

Speculation about a possible sale of properties began last fall after activist investor Nelson Peltz called on the chemical company to reduce its non-core assets, including the country club and hotel. Peltz, who leads New York hedge fund Trian Fund Management, claimed DuPont's hospitality holdings are a portion of excess costs that cost the company as much as $4 billion.

In a Sept. 16 letter to DuPont's board, Peltz said the hotel, theater and country club are "examples of corporate largesse."

Since Peltz launched a January proxy war to land four candidates on DuPont's board, the company has begun divesting properties outside of its core chemical and technology base. DuPont said the moves are part of its own initiative to eliminate $1.3 billion of annual expenses by 2018.

In January, DuPont sold the 130-year DuPont Theatre, a Broadway-style playhouse to the Grand Opera House. A few weeks ago, the company sold three parking lots near the hotel to Buccini/Pollin Group. Financial terms of those transactions were not disclosed.

The parking lot sale began fueling speculation that it could be a precursor to DuPont finding a buyer for the hotel.

The 217-room Hotel du Pont has been the heart of downtown Wilmington since it opened in 1911. It was unique in corporate America, according to "The Hotel du Pont Story," by Harry V. Ayres.

Over the years, the hotel has welcomed a who's who of the world, including former first lady Eleanor Roosevelt, President Harry S. Truman, President John F. Kennedy and first lady Jacqueline Kennedy, Charles Lindbergh, Amelia Earhart, Oscar Hammerstein, Richard Rodgers, Duke Ellington, Ginger Rogers and Fred Astaire, Bette Davis, Katharine Hepburn, the Rev. Jesse Jackson and Jimmy Hoffa.

In a meeting with The News Journal in March, Peltz said his wife and daughter were regular guests at the hotel at one time.

It's also been the place of countless weddings, proms, reunions and business meetings.

The hotel connects to DuPont's former headquarters in downtown Wilmington and features a bar, restaurant and meeting facilities.

Established in 1920, the DuPont Country Club was formed as a recreational club for company employees. Initially, the club consisted of a two-story house, a baseball diamond and three tennis courts. By late 1922, a nine-hole golf course and eight tennis courts were constructed.

Some of the greatest players in golf history played the links there including Betsy Rawls, Nancy Lopez and Julie Inskter. Tennis legends Margaret Osborne DuPont, Billie Jean King and Venus Williams graced the tennis court.

Staff reporter Maureen Milford contributed to this story.

Contact Jeff Mordock at (302) 324-2786, on Twitter @JeffMordockTNJ or jmordock@delawareonline.com.