Beverly Hills hotel and condos sold for $ 78 million
The sale is expected to close around July 9.
The Mr. C Beverly Hills hotel will bring in $ 65.4 million while $ 12.5 million will be spent on adjacent condo units.
The deal will be funded with $ 30 million in cash, 2.5 million operating partnership units, 500,000 warrants and a $ 30 million mortgage.
“The acquisition of Mr. C is an opportunity for us to acquire an irreplaceable luxury property in a prime location in the heart of West Los Angeles,” said Richard Stockton, President and CEO of Braemar, in a statement. .
Prior to the pandemic, revenue per available room at Mr. C’s was $ 251.14 for the 12 months ending at the end of 2019. The hotel had a 75% occupancy rate and an average daily rate. of $ 334.40.
“This property fits perfectly with our strategy of owning high RevPAR luxury hotels and resorts and further diversifies our portfolio,” Stockton said in a statement. “We are delighted to announce our first acquisition in the midst of the industry’s current recovery cycle. “
Mr. C was built in 1965 and renovated in 2011. It has 138 rooms, including 22 suites. The hotel also has a spa and three dining options.
Additionally, the property houses The Restaurant at Mr. C; 24,000 square feet of meeting space; a 4,500 square foot outdoor pool deck; Gym; and business center.
The five condominium units are fully furnished and offer access to hotel amenities. They range from 2,000 to 3,4,000 square feet and are used for extended stay rentals.
Braemar Hotels & Resorts expects a return of over 8% on the investment over the next three to five years.
The Mr. C isn’t the only recent notable hotel sale in LA In May, Westwood-based Stockdale Capital Partners purchased the 175-room JW Marriott Santa Monica Le Merigot hotel in Columbia Sussex.
The company declined to provide the purchase price, but records indicate it sold for $ 75 million.
The JW Marriott Santa Monica is located at 1740 Ocean Ave. and has 11 indoor and outdoor event spaces, a full-service restaurant, a lounge-patio, 24/7 in-room dining service, an outdoor swimming pool with a spa terrace , Spa Le Mérigot, a fitness center and a business center.
There were also some big sales last year.
Downtown-based BLVD Hospitality, Global Mutual and ESI Ventures have purchased the iconic Georgian Hotel at 1415 Ocean Ave. in Santa Monica for $ 62 million.
EOS Investors, meanwhile, bought the 116-room Viceroy L’Ermitage Beverly Hills for $ 100 million. The hotel is located at 9291 Burton Way, near Rodeo Drive.
And at the end of last year, the 502-room Renaissance Los Angeles Airport hotel sold for $ 91.5 million.
For reprint and license requests for this article, CLICK HERE.