New Owner Plans $20M Renovation of La Jolla MarriottMonday, July 25, 2011
Connecticut-based HEI Hotels & Resorts, a privately held hospitality investment firm, announced July 25 that it has purchased the 360-room San Diego Marriott La Jolla for an undisclosed amount.
The seller was Cornerstone Real Estate Advisers LLC, also based in Connecticut. HEI said in a statement that it plans a $20 million renovation beginning in 2012, including updates to the property’s guest rooms, lobby, meeting space and fitness facilities.
Steve Mendell, HEI’s president of acquisitions and development, said in the statement that this is the company’s second acquisition in the San Diego metro area. The company also owns the 349-room Hilton San Diego Mission Valley.
“We were particularly attracted to this asset by the depth and diversity of the pharmaceutical and telecommunication businesses in La Jolla and the opportunity presented from our comprehensive planned renovation,” Mendell said.
The hotel, at 4240 La Jolla Village Drive in the Golden Triangle business district, has 23 meeting rooms and more than 16,000 square feet of total function space.
According to Atlas Hospitality Group, a brokerage and consulting firm in Irvine that was not involved in the transaction, the purchase price based on current market conditions was likely close to $70 million.
— Lou Hirsh