Atlas in the news

Hospitality market in Bay Area remains frail By George Avalos | gavalos@bayareanewsgroup.com | Bay Area News Group PUBLISHED: March 9, 2026 at 11:31 AM PDT | UPDATED: March 10, 2026 at 9:21 AM PDT TIBURON — A boutique hotel nestled in a Bay Area enclave was bought through a speedy foreclosure transaction, a fresh sign that economic woes still afflict the region’s weak hospitality sector. Denver-based hospitality group KSL Capital Partners, which this month bought Los Gatos’ Toll House Hotel through a similarly swift foreclosure procedure, has also purchased The Lodge at Tiburon, documents in Marin County and Santa Clara County show. Rhode Island-based Procaccianti Cos., which bought the two boutique hotels in 2019, sold them to KSL for considerably less than their prior values, a review of property filings shows. The 102-unit Lodge at Tiburon was bought for no more than the $27.6 million in unpaid debt that burdened the hotel at the time of its purchase, according to a document on file at the Marin County Recorder’s Office. Procaccianti Cos. paid $34 million for it in 2019, meaning the hotel’s value has plunged by at least 18.8%. Similarly, the 115-unit Toll House Hotel in Los Gatos has suffered a decline of at least 31% in value since…

Hotel valued at much less than its prior purchase price By George Avalos | gavalos@bayareanewsgroup.com | Bay Area News Group PUBLISHED: March 6, 2026 at 9:36 AM PST | UPDATED: March 6, 2026 at 4:22 PM PST LOS GATOS — The Toll House Hotel in Los Gatos was bought by a lodging group from Colorado through a swift foreclosure proceeding, evidence that the Bay Area hospitality sector continues to wobble. The transaction suggests that the hotel is worth far less now than the price the seller paid in 2019, a review of Santa Clara County property documents shows. Denver-based KSL Capital Partners, whose units include Peregrine Hospitality, took ownership of the hotel through a deed in lieu of foreclosure, which is a speedy process to enable a lender to take ownership of the property. The unpaid debt was $30 million at the time of the foreclosure, according to documents filed on March 5 with the Santa Clara County Recorder’s Office. The seller in the foreclosure proceeding was an affiliate of Rhode Island-based Procaccianti Cos. In 2019, the firm paid $43.5 million for the Toll House Hotel, county property documents show. The foreclosure deed stated that KSL Capital’s affiliate paid no more than the $30 million in unpaid debt…

By Cheryl Sarfaty | cheryl.sarfaty@busjrnl.com | North Bay Business Journal PUBLISHED: February 11, 2026 at 4:03 PM PST | UPDATED: February 12, 2026 at 9:31 AM PST Hotel sales throughout California in 2025 showed some year-over-year improvement — up 4.4% — but the North Bay was a different story. Only three of the six counties in the region reported hotel transactions, marking a steep decline from a year earlier, according to a real estate brokerage that tracks the industry. Overall, nagging market pressures continued to create challenges, including buyers and sellers disagreeing on pricing, according to Newport Beach-based Atlas Hospitality Group. “Deal-making stayed difficult as financing costs, operating expense pressure (labor and insurance), and seller price resistance kept transactions from normalizing,” said Alan X. Reay, president of Atlas. “California ended 2025 with 259 hotel sales totaling $4.095 billion, but the year’s totals still mask a market that remains constrained.”  Atlas reported in the first half of 2023 that sales of California hotel properties had fallen more than 53% compared to the previous year. The reason, Reay said at the time, was “almost exclusively” because of the “rapid” increase in interest rates. It was the steepest drop he had seen in nearly 15 years. This week, the firm released its 2025 year-end…

Dollar volume in the north of the state jumped 104 percent California recorded $4.1 billion in hotel sales in 2025, up 22 percent from 2024, according to Atlas Hospitality Group. By Sreedevi N R | Mar 03, 2026 CALIFORNIA HOTEL MARKET closed 2025 with sales of about $4.1 billion, a 22 percent increase from 2024, according to Atlas Hospitality Group. Despite the rise in total volume and a 4.4 percent increase in individual sales, the market remains constrained by interest rates and a wide bid-ask spread. Atlas’s “California Hotel Sales Survey: 2025 Year-End” reported 259 hotel sales statewide. The median price per room fell 7.2 percent to $138,409, while the average published-price transaction was $183,791, reflecting continued underwriting discipline. High interest rates and the wide bid-ask spread slowed transactions, despite notable sales in the second half of the year. Distressed and lender-driven sales accounted for a large share of the market. Hersha acquires Westin in Savannah, GA A late-year theme was price discovery through steep discounts on marquee assets. Distress spread beyond isolated trades as additional defaults pushed comparables lower. North & South overview Northern California dollar sales rose 104 percent from 2024, driven by large distressed transactions. In San Francisco, the Hilton Union…

The price buyers paid per hotel room, though, shot up, a positive sign for the San Diego County hotel market By Lori Weisberg | lori.weisberg@sduniontribune.com | The San Diego Union-Tribune PUBLISHED: February 13, 2026 at 6:00 AM PST San Diego County’s hotel real estate market slumped a bit last year, as measured by the number of transactions and overall dollar volume, which both declined, compared to a year earlier. The good news, though, is that the median price paid per room for the 17 hotels that sold in 2025 jumped more than 20%. That’s due in part to the county’s single largest hotel transaction — the 340-room Embassy Suites La Jolla. A newly released report on 2025 hotel sales statewide shows San Diego County was something of an outlier. Taken as a whole, California hotel sales rose more than 4% compared to 2024, while the dollar volume of those transactions shot up 22%. But unlike in San Diego, the median price paid per room in California slipped 7%. Statewide, only three counties — Alameda, Fresno and San Francisco — saw bigger percent increases than San Diego in the median price per room, reported Atlas Hospitality Group, an Orange County-based brokerage firm that tracks the California…

The Registry | February 10, 2026 Los Angeles provided pockets of strength while Orange County and inland markets reflected tighter pricing discipline Southern California’s hotel investment market in 2025 moved in a more restrained direction, with fewer large trades and a narrower pool of active buyers. While select assets continued to transact — particularly those priced to reflect higher debt costs — overall volume declined as many owners remained unwilling to meet buyer expectations. The result was a year marked by selective deal flow rather than broad participation, as reported by the Atlas Hospitality Group. Across the region, 117 hotels sold during the year, down slightly from 2024, while total dollar volume fell more than 20 percent to approximately $1.73 billion. Unlike Northern California, Southern California did not benefit from a comparable concentration of large distressed trades, leaving overall activity more sensitive to financing constraints and operating cost pressures. In the report, Atlas Hospitality Group pointed out that Los Angeles County stood out as the region’s most active market. A total of 41 hotels traded in 2025, up from 36 the prior year, while dollar volume rose more than 50 percent to roughly $736 million. The largest transaction was the…

By Nellie Day  Mar 3, 2026 8:00am For many hotel owners navigating today’s capital markets, that decision is now front and center. To be sure, this isn’t 2008 – but it’s also not 2021. At that time, many assets were underwritten with the expectation that capital would remain both accessible and inexpensive.  Instead, owners now face a market where interest rates are higher, valuation growth has slowed and refinancing proceeds often fall short of outstanding loan balances. Unlike 2008, when distress was driven by collapsing credit availability and operating performance, many of today’s hotels remain fundamentally sound. Yet, pressure is emerging… “The stress is capital-structure driven, not demand-driven,” explains Ryan Bosch, principal at Arriba Capital. “Hotels are largely performing. The pressure is coming from the liability side of the balance sheet.” Much of that exposure traces back to CMBS loans originated in 2021 and 2022, when borrowers were able to accept tighter margins and higher leverage. Nearly 80 percent of that conduit maturity pool was already showing signs of stress as of last year, Bosch notes, with loans underwritten at debt yields below 9 percent now maturing into an environment where refinancing proceeds no longer support the original capital stack. “This isn’t a…