Atlas in the news
Keyed Up: LA’s Hotel Development Outpacing the Rest of California
The Real Deal 07/22/19 Keyed Up: LA’s Hotel Development Outpacing the Rest of California By Gregory Cornfield https://therealdeal.com/la/2019/07/22/keyed-up-las-hotel-development-outpacing-the-rest-of-california/ Despite earlier signs this year of a slowdown relative to historical data, the hotel industry is still booming, and Los Angeles is still dominating the state in construction. A report from Atlas Hospitality Group shows 36 new hotels opened in California this year — 10 more than the same point in 2018 — the Los Angeles Business Journal reported. The amount of new hotels in the pipeline statewide also jumped 19 percent from last year. Four hotels opened so far in 2019 in Los Angeles County: the 271-room Proper Hotel; a 176-room AC Hotel; a 49-room Palihotel; and the smaller nine-room Arts District Firehouse Hotel. But there are also 45 projects with 7,500 rooms under construction, and 268 projects with 40,190 rooms in the planning stage. The largest project under construction is Lightstone Groups’s 744-room hotel near the L.A. Convention Center. Many of the projects are set for Downtown. Lawmakers set a goal of adding 8,000 more rooms within walking distance of the soon-to-be expanded Convention Center, and they have awarded millions of dollars in extra tax incentives to developers in order…
Atlas Survey Shows Los Angeles Leads California Hotel Construction
HotelNewsNow 07/19/19 5 Things to Know: Atlas Survey Shows Los Angeles Leads California Hotel Construction http://www.hotelnewsnow.com/Articles/297251/5-things-to-know-19-July-2019 Atlas survey shows Los Angles leads California hotel construction: Through the first half of 2019, California new hotel construction continued at a “record-breaking pace,” compared to the same period in 2018, according to Atlas Hospitality Group’s 2019 mid-year California Hotel Development Survey. A total of 36 hotels opened in the first six months, while 26 opened in the same period in 2018. The number of hotels under construction increased 28%, while the number of new rooms under construction rose 25%. Los Angeles County led the state with 45 hotels, totaling 7,497 rooms, under construction. The largest among those hotels include an AC Hotel and Moxy Hotel, both with 410 rooms. “Lenders and developers continue to be very bullish on new California hotels, as they see a very positive long-term outlook for the Golden State. They are also encouraged by the states (revenue per available room) increases, as compared to the rest of the country,” the survey states.
Hotel Development Up 89%
Orange County Business Journal 07/18/19 Hotel Development Up 89% By Katie Murar https://www.ocbj.com/news/2019/jul/18/hotel-development-89/ Current hotel development in Orange County is nearly double what it was last year, according to a report by Atlas Hospitality Group in Irvine. There were 17 hotels under construction in Orange County last month, up from 9 in the same period last year. The largest remains Wincome Group’s 613-room Westin Anaheim Resort, a $250 million redevelopment of the former Anabella Hotel slated to open next year. Two Hampton Inn & Suites in Anaheim and Buena Park comprised the total hotel openings so far this year in OC, adding 178 and 102 rooms, respectively. As of June, the county had 67 hotels with 10,500 rooms in planning, up 6% and down 2%, respectively, from June 2018. Strong local hotel development reflects statewide trends; Atlas data shows California hotel construction this year is expected to top record levels set in 2018.
Los Angeles Commercial Real Estate Industry Gives Mixed Reaction to New Airbnb Regulations
CoStar 07/03/19 Los Angeles Commercial Real Estate Industry Gives Mixed Reaction to New Airbnb Regulations New Ordinance in Limits Days of Operation, Requires Annual Fee By Karen Jordan The city of Los Angeles is enacting new regulations on short-term rentals, made popular by companies such as Airbnb, that apartment owners are rebuking but hoteliers are hoping help curb the competition. Short-term rental companies such as Airbnb or VRBO provide online services that connect property owners or renters with visitors who want to pay for space for 30 days or less instead of going to a hotel. They have become a dominating force nationwide since entering the marketplace in earnest a decade ago, and now cities nationwide are moving to regulate the services as neighborhood residents complain about the influx of strangers to the rentals and hoteliers complain that the homeowners don’t pay the same taxes or fees for their rentals. Among the Los Angeles regulations, which took effect July 1, hosts will only be able to rent out their primary residences and will not be allowed to take in visitors for more than 120 days unless they register for “extended home-sharing,” which is a discretionary designation with criteria including having…
Is LAX’s Theme Building Coming Back to Life as Part of an On-airport Hotel
Los Angeles Times 06/12/19 Is LAX’s Theme Building Coming Back to Life as Part of an On-airport Hotel By Christopher Reynolds https://www.latimes.com/travel/la-tr-travel-lax-theme-building-hotel-idea-future-20190612-story.html In New York, JFK airport has found someone to transform its curvaceous but long-dead TWA terminal into a hotel. In downtown Los Angeles, Union Station has at last found a brewpub to fill its grand old Harvey House restaurant space after about 50 years. So when will LAX resurrect its own iconic, underused, transportation-adjacent architectural wonder? Maybe soon. As the airport advances on a major expansion and modernization, including a new people-mover train scheduled to open in 2023, Los Angeles World Airports officials are looking for ways to bring a hotel into the core area that includes the Theme Building. You know the Theme Building, even if you’re not sure what goes on inside. Designed by Pereira & Luckman Architects to symbolize a jet-age future, it looks like a big, white, concrete-and-steel spider. Since 1961, it has loomed over the airport as an icon of Southern California Midcentury Modernism. Beneath its twin parabolic arches, there’s a big, round, glass-walled dining room (now idle) that generations of confused travelers have mistaken for the airport’s traffic control tower. Above the…
Lake Forest Getting 3 New Hotels
The Orange County Register 05/29/19 Lake Forest Getting 3 New Hotels By Jonanthan Lansner Lake Forest getting 3 new hotels Lake Forest is getting three new hotels near the Lake Forest Boulevard exits to the 5 freeway. The building surge will add 422 rooms to the city that already has 10 hotels. According to the city, here’s what under construction … TownePlace Suites by Marriott: 112 rooms in 65,000 square feet at 23150 Lake Center Drive. Springhill Suites by Marriott: 102 rooms in 67,000 square feet at 23600 Rockfield Blvd. Homewood Suites/Hampton Inn: 208 rooms in 120,000 square feet at 23021 Lake Center Drive. These hotels may face a cooling hotel market in South Orange County. Room rates in the first quarter ran $229 a night in the area, down 2.5% in a year, according to CBRE data. Occupancy was down slightly to 71.6%. Countywide, room rates were up 1.5% in 12 months to $195 as occupancy slipped modestly, too, to 78.9%. Atlas Hospitality shows just three hotels opened in 2018 in Orange County, half of the six in 2017. Last year’s openings had 445 rooms vs. 960 in ’17 — a drop of 54%. That building decline seems to…
Tourist-Driven Revenue in LA County Increased 4.9% to $36.6B
Los Angeles Business Journal 05/07/19 Tourist-Driven Revenue in LA County Increased 4.9% to $36.6B By Rachel Uranga https://labusinessjournal.com/news/2019/may/07/tourist-driven-revenue-la-county-increased-49-366b/ An economic impact report released by the Los Angeles Tourism & Convention Board on May 7 found that the 50 million tourists who visited the L.A. region spent $23.9 billion, helping to generated $36.6 billion in total economic impact. Tourist spending was up 5% over last year. Nearly a third of those dollars were spent on hotel and accommodations. The county’s hotels sold a record 30.2 million hotel rooms with an average daily rate of $180.17. The stays generated $308 million in collected tax funds for Los Angeles, which was up 8.7% over last year. Tourists had more rooms to choose from last year with 11 new hotels coming online, according to Atlas Hospitality Group. An additional 45 hotel projects were under construction and the group estimates an additionally 3,000 rooms will be available by next year. Many of the new hotel are located near the Convention Center, where developers and city officials are looking to draw in more visitors. Ernest Wooden Jr., head of the board, said that the coming years will place even more emphasis on delivering community benefits thought…
At Age 131, Hotel del Coronado Gets 21st Century Upgrades
CoStar 05/06/19 At Age 131, Hotel del Coronado Gets 21st Century Upgrades Iconic San Diego Property in Midst of $200 Million Renovation By Lou Hirsh https://product.costar.com/home/news/shared/580709569 Upcoming renovations at Hotel del Coronado, which opened in 1888, include 142 additional guest rooms, a new conference center, an overhauled main entrance and new on-site dining and social spaces. Private equity giant Blackstone Group is embarking on a $200 million renovation of its historic Hotel del Coronado, marking the largest overhaul in the 131-year history of one of San Diego’s — and California’s — most iconic hospitality properties. Operators are adding 142 guest rooms to the 757-room property, building a conference center and moving most of its parking underground to make way for more outdoor space to accommodate beachside dining and strolling. It’s all part of efforts to preserve the Victorian-style hotel’s rich history and architecture, while keeping it competitive with a slew of niche luxury brands being rolled out by the major chain hotel operators. “We wanted to make sure to keep this property relevant to what consumers want in a vacation spot, but still keep those things that make it so unique,” said hotel spokeswoman Stacey Ellis. Hotel Del Coronado’s latest…
CLIC Attracts Record Number of Attendees
Hotel Management 03/29/19 CLIC Attracts Record Number of Attendees By Chuck Dobrosielski https://www.hotelmanagement.net/asset-management/record-number-attendees-attend-clic Held March 7, the third annual California Lodging Investment Conference brought in a record number of attendees. More than 300 people registered for the California-focused hospitality event, hosted this year by The Westin South Coast Plaza in Costa Mesa. The conference centered exclusively on the California hotel market, offering six panels and a day’s worth of networking. Craig Sullivan, CLIC’s founder and president, and Arnie Garfinkel, president of the All Star Group, produced the event. Bruce Ford, senior vice president and director of global business development for Lodging Econometrics, delivered the opening keynote and Alan X. Reay, president of Atlas Hospitality Group, gave the luncheon keynote. Attendees also heard a California legislative presentation from the California Lodging Industry Association’s EVP/COO Bobbie Singh-Allen, as well as an Asian American Hotel Owners Association update from the organization’s chairman, Hitesh Patel.
New Downtown San Jose AC Hotel Near Google Transit Village Is Bought
East Bay Times 04/01/19 New Downtown San Jose AC Hotel Near Google Transit Village Is Bought AC Hotel Marriott in downtown San Jose is bought by veteran East Coast real estate firm By George Avalos New downtown San Jose hotel near Google transit village is bought SAN JOSE — Downtown San Jose’s newest hotel has been bought by a big real estate company from the New York City area, an indicator of ongoing confidence in the urban core of the Bay Area’s largest city. An affiliate of AVR Realty, based in Yonkers, a city about 11 miles from Manhattan, has bought the AC Hotel San Jose, which is a Marriott brand with a European flair that caters to millennial customers. “This is a very strong hotel market in downtown San Jose that AVR Realty is buying into,” said Alan Reay, president of Irvine-based Atlas Hospitality Group, which tracks the lodging market in California. “Downtown San Jose is a market where demand exceeds supply.” AVR San Jose Downtown Hotel, the AVR affiliate, paid $95.4 million last week to buy the hotel, according to Santa Clara County public records. The county documents show the buying entity is controlled by AVR Realty, a…
Napa Hotel Room Revenue Tops $426.8 Million in 2018 – a Record
Napa Valley Register 02/23/19 Napa Hotel Room Revenue Tops $426.8 Million in 2018 – a Record By Jennifer Huffman https://napavalleyregister.com/news/local/napa-hotel-room-revenue-tops-million-in—a/article_6a2b2b5e-284d-5537-ac64-dd5f0fa22cb9.html If you build it they will come… and spend money. Overnight visitors to Napa County spent more than $426 million in Napa hotel rooms in 2018, a 7.6 percent increase from the year before and a record high. The average daily room rate of a Napa County hotel rose 4.9 percent — reaching $324.80 per night. Occupancy dipped just .5 percent, settling in at 71.1 percent, according to data and analytics specialist company STR. “It’s great,” said Clay Gregory, CEO of Visit Napa Valley. “We’re very happy about,” the increases. Gregory attributes those changes to several things, including the addition of more hotel rooms, an increase in international visitors, and VNV’s ability to market the valley as open for business, especially after the 2017 fires. According to Atlas Hospitality Group and VNV, an estimated 167 new rooms opened in Napa County in 2018. The majority — 145 rooms — opened at the Vista Collina Resort in South Napa. A smaller number of new rooms also opened in the Francis House in Calistoga, The Ink House in St. Helena, The Bungalows…
Hotel del Coronado Starts $200M Upgrade, Its Biggest Ever. Does It Need It?
The San Diego Union Tribune 02/15/19 Hotel del Coronado Starts $200M Upgrade, Its Biggest Ever. Does It Need It? By Lori Weisberg https://www.sandiegouniontribune.com/business/tourism/sd-fi-hoteldelcoronado-makeover-expansion-20190215-story.html For decades, the stately Hotel del Coronado, with its imposing red-roofed turret, chandelier-bedecked Victorian lobby and its storied ties to Hollywood nobility, has been instantly recognizable well beyond San Diego County… “This is in Coronado, where it’s extremely difficult to get approvals for anything so the value of being able to add more rooms to that is incredible,” said Alan Reay, president of the Orange County-based Atlas Hospitality Group. “I don’t know of any other hotel on the California coast with that amount of rooms and meeting facilities so it’s very difficult to go wrong with adding the rooms they’re adding. “It’s like it’s own little demand generator, which makes it very, very unique.”
