Los Angeles Times
06/01/16

Once a Den of Prostitution and Drugs, the Cecil Hotel in Downtown L.A. Is Set to Undergo a $100-Million Renovation
By Andrew Khouri

http://www.latimes.com/business/la-fi-cecil-hotel-20160601-snap-story.html

The Cecil Hotel in downtown Los Angeles is set to undergo a $100-million renovation by a New York City developer, which aims to transform the former den of prostitution and drugs into a hip boutique hotel and micro rental units.

The plan for the hotel is yet another example of the development boom sweeping downtown, where old buildings are being revamped and new hotel and condo towers erected.

“We are gutting the entire building,” said Matthew M. Baron, president of Simon Baron Development, which this month signed a 99-year ground lease with the building’s owner, 248 Haynes Hotel Associates. “We are going to redevelop it from the doorway to the roof and everything in between.”

But the transformation of the hotel – which served as an inspiration for a season of “American Horror Story” – could prove controversial…

…Alan Reay, president of Atlas Hospitality Group, described downtown Los Angeles as “probably the hottest hotel market in the United States.” If the area’s revival continues unabated, the market should absorb the flood of upcoming units, he said. But that’s not a sure thing.

“The big question would be: How deep is the market?” Reay said.

Simon Baron is betting there’s plenty of growth left…