SAS Management, has unveiled its latest project, Sago Hotel. The new luxury boutique, which spans from Orchard Street to Allen Street features 20 rooms and includes a two-story, penthouse. 

Sago hotel, located at 120 Allen Street, in the heart of LES, first opened its doors in January.

“We are proud to open our doors to individuals who will appreciate Euro minimalist style rooms and the cultural vitality of LES” says General Manager, Michael Melendez.

The hotels design reflects simplistic, yet industrial styles and encompasses the mechanical and rustic elements of the Lower East Side’s industrial history. All 20 guest rooms have individual climate control, flat screen LCD televisions and free high speed Wi-Fi access; some units include soaking tubs and exposed cinderblock walls. Additionally, the hotel’s basement has been converted into The John Lamb, a restaurant that serves locally grown foods to hotel guests and the public.

Sago, a project long time in making, was built on the former site of Fine & Klein Handbags, which operated in the neighborhood for more than 40 years. When the company went out of business in 2008 Owner of SAS Management, Shimon Avadi, purchased the property for $4.2 million – a move that helped his vision come to fruition. 

“My inspiration for quality service stemmed from Fein and Klein Handbags as they offered exceptional products and quality service – which means everything to me” said Avadi. “When we learned the company was closing its doors we jumped at the opportunity to buy it. I dreamed of owning and operating that type of prestigious business and now I have come to own that very building.”

Today, Shimon’s passion for hospitality and customer service has translated into a boutique hotel containing many details that pays homage to lower east side and his humble beginnings. 

“Sago hotel is all about the comfort of our guests and meeting their needs – and we will exemplify this, both physically and in terms of the staff attitude and culture,” Avadi stated. 

Rooms at Sago run between $175 and $500 per night, depending on their size and the season. The penthouse which features a patio with panoramic views of Manhattan and a wine cooler that can be pre-stocked to a guest’s specifications, will cost $1,500-per-night. 

To reserve a room at Sago, visit or call the hotel directly at 212.951.1112.