Hotel Sales Volume in SoCal Shows 61 Percent Mid-Year Gain
Hotel sales percolate in the Inland area; a Mexican bank wants to gain an Inland foothold
By Debra Gruszecki
Hospitality investment is staging a comeback, if hotel sales over the first six months of 2015 are an indication.
Atlas Hospitality Group’s mid-year Hotel Sales Survey reports a record $4.4 billion in sales across the California, and $2.3 billion in sales came from 67 hotel transactions in Southern California.
Hotel sales volume eclipsed all previous mid-year totals since the Irvine-based hospitality industry reporting service started tracking sales in 1994, Atlas president Alan Reay said in the report.
Across Southern California, the $2.3 billion in total hotel sales was up 61 percent from $1.4 billion in transactions over the January-to-June period of 2014.
Twenty hotels sold in the Inland region for $130.4 million over the first six months, the survey said. Over the same period of 2014, 23 hotel sales took place in Riverside and San Bernardino counties and transactions totaled $89.1 million.
The largest and most expensive Riverside County hotel sale was Renaissance Palm Springs, a 410-room property selling for $65 million. The largest hotel to be sold in San Bernardino County was Homewood Suites, a 108-room property in San Bernardino. Holiday Inn Express & Suites fetched the most. Investors paid $8.2 million for that San Bernardino hotel, the report said.
Across California, Reay said the priciest sales were recorded by Montage Laguna Beach, selling for $360 million; the Fairmont Grand Del Mar of San Diego, selling for $259 million; Parc 55 of San Francisco, trading hands for $530 million; and SLS Hotel in Beverly Hills, a 297-room property going for $195 million.