San Diego Hotel Transactions Up 70% In First Half Of 2017
Hotel transactions in San Diego County increased in the first six months of 2017, up 70% from previous midyear sales. The total sales dollar value rose 54%, according to a midyear hotel sales report from Atlas Hospitality Group. The average price per room rose 2% compared to hotel transactions during the first half of 2016, but the median price per room dropped 6%.
The sale of the Park Hyatt Aviara Resort Hotel in Carlsbad to lender CW Capital Asset Management was the largest and most expensive hotel transaction at $185.6M, the report noted. That transaction came after a years-long struggle by the previous owners to repay debt coming due, the San Diego Union-Tribune reports, which noted a grant deed in lieu of foreclosure transferred the property to the lender for the amount of unpaid debt. Broadreach Capital Partners paid $251M in 2007 for controlling interest in the 329-room hotel, which was formerly managed by Four Seasons.
Overall, there were 206 hotel transactions in California through the first six months of 2017, a midyear record. The previous midyear high was in 2014, when 187 hotels were traded.
The 80-room Hotel Yountville in Napa County brought the highest price per room at more than $1.2M, and the most expensive sale overall was the $219M paid for the W Hollywood, Atlas reported.