San Diego-based Pacific Hospitality Group Inc., also known as PHG, has purchased the 250-room Warner Springs Ranch Resort in Warner Springs, out of a bankruptcy proceeding involving its prior owner, Warner Springs Ranchowners Association.
In a statement, Pacific Hospitality Group said the company initially will have $15 million to $18 million invested in the acquisition of the 2,400-acre property, with plans to invest up to $50 million in the renovation and redevelopment of facilities.
The property is located at 31652 Highway 79 and was marketed by the brokerage firm CBRE. “Pacific Hospitality Group’s bid was selected by the Warner Springs Ranch board of directors and confirmed at auction,” said CBRE Managing Director Jeff Woolson.
The property was founded as a working ranch in the mid-1800s and opened as a resort in the 1920s. It currently includes a 27,000-square-foot main lodge, 250 casitas, a 144-acre golf course, two restaurants and equestrian facilities. It has been known over the years as a health resort for its natural hot springs.
PHG Chairman William McWethy said the renovation will be done in phases, with the first phase — renovation of the golf course — set for completion in spring 2014. Future plans call for elements including a winery and tasting room, a new gym and fitness facility, and expanded meeting facilities.
PHG was founded by McWethy in 1986. It has previously renovated historic San Diego properties including Old Town’s Hacienda Hotel and Heritage Park.
— SDBJ Staff Report