With the highest population in the U.S., California is almost tops in diversity—second only to Hawaii. From the Sunset Cliffs in the south to the Redwood Forest in the north, across an 840 mile coastline, The Golden State has a lot to offer. While the rivalry between SoCal and NorCal continues and Giants vs. Dodgers keeps it real, the state’s hospitality industry is booming.
In an exclusive report shared by TOPHOTELPROJECTS, Los Angeles ranks fifth among the top ten cities in the U.S., with 22 projects and 5,496 rooms.
With Disneyland, Hollywood, In-N-Out Burger, Rodeo Drive, swimming pools, and movie stars, we just can’t get enough of Southern California.
The San Diego Tribune reports that, “Hotel developers remain bullish on Southern California, with more than 13,000 rooms under construction during 2016, plus 66,000 more in the planning pipeline.” Los Angeles and San Diego are touted as being at the forefront of the hotel development projects.
The 350-room, 18-story flagship Hotel Indigo Los Angeles Downtown opened this April. The boutique hotel is located in the new mixed-use Metropolis development which is slated for completion in 2019. Chinese development firm, Greenland USA, has invested more than $1 billion to create a new landmark for Downtown Los Angeles. The 18-story, 350-room hotel is central to the Metropolis development, making it accessible to the iconic LA Live complex, Staples Center, and The Jewelry District.
A recent addition to the LA skyline is the InterContinental Los Angeles Downtown, which stands 73 stories tall. Rising 1,100 feet above street level, it features 900 luxury rooms. The hotel is located at Wilshire Grand Center and is the largest InterContinental to have opened up in the Americas. The swanky hotel has Lobby Lounge Restaurant on the 70th floor and open-air bar Spire 73 on the 73rd floor, claimed to be the tallest in the western hemisphere.
Another recent addition to the LA hospitality scene is Choice Hotels International. The hotel chain joined Fillmore Capital Partners and Fillmore Hospitality to celebrate the debut of the Cambria Hotel Los Angeles—LAX. The 152-room upscale property is minutes from Los Angeles International Airport. It offers contemporary onsite dining, serving a menu comprised of local specialties, liquor, wine, and local craft beers, as well as freshly prepared grab-and-go gourmet salads and sandwiches and a barista bar. The upscale hotel brand has plans to open five additional hotels, including LA Live in the downtown area, LA Spring Street, Anaheim, Glendale, and Calabasas.
Image courtesy: Dream Hotels' Dream Hollywood
OTHER RECENT ATTRACTIONS:
The biggest opening of 2017 has to be the iconic Waldorf Astoria Beverly Hills at the intersection of Wilshire and Santa Monica boulevards—the gateway to Beverly Hills. The 12-story, 170-room property is designed inside and out by Pierre-Yves Rochon.
Staybridge Suites Anaheim at the Park: Just a short walk to Downtown Disney, the Disneyland Resort Monorail entrance, this 124-room hotel is a huge hit.
AC Hotel Irvine: Located only two miles away from the John Wayne Airport, this 176-room hotel is in the Park Place development.
Homewood Suites by Hilton Irvine John Wayne Airport: One more addition near the airport is this 161-room hotel, Irvine-based R.D. Olson Construction’s first partnership with hotel management and development company DKN Hotels.
Dream Hotels’ Dream Hollywood: Dream Hotels’ Dream Hollywood, designed by Rockwell Group, is the West Coast flagship of the young and stylish boutique brand. With 178 rooms on 10 floors in prime Hollywood at Selma near Cahuenga, the Dream's standout feature is the 11,000-square-foot rooftop with a pool under a retractable roof.
Hotel Indigo Los Angeles Downtown. (Image courtesy: Hotel Indigo)
NoMad Downtown Los Angeles:
Designed by renowned Los Angeles architects Morgan, Walls & Clements, the Giannini Building opened to much fanfare in 1923 with towering columns, golden ceilings, and marble floors. Ninety years later, Sydell Group plans to reinvent the 250 rooms on 12 floors and a rooftop pool with panoramic views of the city.
Kimpton La Peer Hotel:
Tucked between famed Melrose Avenue and Santa Monica Boulevard, Kimpton La Peer Hotel is an intimate enclave in the heart of West Hollywood’s Design District. It features 105 guestrooms and suites, a rooftop event space, pool, and more than 8,000 square feet of indoor and outdoor dining and lounge spaces. The hotel is taking reservations for November 2017.
Data provided by: Lodging Econometrics
WHAT TO WATCH FOR IN THE PIPELINE
- Lido House Hotel, Autograph Collection, is a 130-room upscale boutique hotel in Newport Beach, expected to open in the first quarter of 2018.
- Four Seasons Calistoga Resort is a 105-room property scheduled to open in the first quarter of 2019. The resort will feature its own fully operational winery and hand-farmed vineyard. A limited collection of wines will be produced onsite under the direction of acclaimed winemaker Thomas Brown.
- Thompson Hollywood, scheduled to open in the third quarter of 2018, will be a 200-room property on Wilcox Avenue, north of Sunset Boulevard. The ground floor of the 10-story building will feature the hotel lobby, a 4,595 square foot restaurant, a 1,862 square foot bar, and an outdoor plaza.
- Andaz Hotel Palm Springs is a proposed luxury hotel at the corner of North Palm Canyon Drive and Alejo Road. The 150-room property is expected to open in the first quarter of 2018.
- Rosewood Miramar Beach Montecito is a 161-room property expected to open in the third quarter of 2018. Spread over nearly 16 acres of prime beachfront real estate, many of the hotel’s guestrooms and suites will be located in single-story cottages and bungalows.
TALK OF THE TOWN
The Jeremy West Hollywood (Image courtesy: The Jeremy West Hollywood)
The Jeremy West Hollywood
What’s in a name? A lot if we take a look at this hotel property. From The James Hotel to The Jeremy Hotel, which will soon be 1 Hotel, the last few months saw a great deal of commotion at 8500 Sunset Boulevard. Starwood Capital Group, a leading global private investment firm, announced that it has acquired, through a controlled affiliate, the newly constructed 286-key property for $280 million in June.
Designed by Skidmore, Owings & Merrill, the property opened in August as The Jeremy Hotel. Located on the corner of La Cienega and Sunset Boulevard, the exterior presents a distinctive metal cladding with its prominent hilltop location allowing for unobstructed breathtaking views. The hotel features 50 suites, including two penthouse suites, a pool, a spectacular rooftop bar and lounge with 360-degree views, a café, restaurant, and lobby bar.
To celebrate the hotel's debut, The Jeremy is offering guests 30 percent off room rates plus a complimentary upgrade with the "Say Hi To Jeremy" package now until December 2017.
Over the course of the next year, The Jeremy will be transformed into the 1 West Hollywood and will become the fourth property in the award-winning eco conscious luxury sustainable brand created by Starwood Capital. When 1 West Hollywood opens it will join sister hotels in Manhattan, Brooklyn, and Miami Beach.
Data provided by: TOPHOTELPROJECTS
From the technology mecca of Silicon Valley to San Francisco to the lush vineyards of Napa and Sonoma, Northern California is a seemingly endless series of boom towns. This means the hospitality scene is ever-evolving.
The pioneering technology-focused hospitality brand, YOTEL, will operate a hotel in the historic Grant Building at 1095 Market Street, one of the few buildings that survived the 1906 earthquake. The property is YOTEL’s first on the West Coast and also their first adaptive re-use office conversion project. This will be the fourth YOTEL city hotel and is expected to open this fall.
Spire 73, InterContinental LA Downtown. (Image courtesy: InterContinental LA Downtown)
YOTEL San Francisco is a joint venture between Synapse Development Group and IFA Hotels & Resorts, Kuwait Real Estate Company, and United Investments Portugal SA , the owners of YOTEL New York.
The property will feature 203 rooms—or cabins, as the brand calls it. All cabins will house YOTEL’s signature space-saving convertible bed, monsoon rain showers, and a techno-wall with flat screen TVs. The club lounge concept, flexible meeting and co-working spaces, and rooftop lounge with 360 degree views of the city, make it a true next-generation hotel.
The Proper Hotel opens in September. Located in the heart of Mid-Market, the 131-room property offers a range of private retreats layered between a lively collection of dining and public spaces. “Taking its cue from a range of early Modernist, Cubist, and Secessionist eras, the design of the hotel seamlessly joins the romantic warmth of the old world with the graphic vibrancy of the new,” states the hotel website. Deep colors, rich textures, and natural materials complement the patina of the original building.
Premium queen with bunk, YOTEL San Francisco. (Image courtesy: YOTEL San Francisco)
Data provided by: Lodging Econometrics
Richard Branson’s Virgin Hotels is also adding to the skyline with Virgin Hotels San Francisco. The 196-room hotel previously announced a “summer” opening, but as of press time had not yet started taking reservations. The property will be developed by Paradigm Hotels Group and managed by Virgin Hotels.
Located South of Market just steps from Yerba Buena Gardens, Virgin Hotels San Francisco will also have the brand’s flagship space, The Commons Club, a coffee shop, numerous meeting spaces, and a rooftop bar.
If you look at the pipeline for just Silicon Valley, there are close to 20 new hotels proposed, not to include those that are already in construction.
CEO Raul Leal commented in a press release earlier this year, “San Francisco is a dynamic, forward-thinking city that embodies so much of what Virgin Hotels stands for, and is already home to many fans of the Virgin brand. As a top domestic and international travel hub for both business and leisure alike, San Francisco is an ideal location for our next Virgin Hotel.”
IN CONVERSATION WITH RUPESH PATEL
Rupesh Patel, president of Zenique Hotels, a hotel ownership and management company headquartered in Burlingame, California, speaks with hT.
"There is an increased competition across the board. With the industry at such a high point, developers are building hotels across the state, especially in Los Angeles and the Bay Area,” he says. Despite the increased construction costs, projects are still being planned in these areas due to the fact that hotel values have exponentially increased over the past few years. With this increased supply coming into markets, construction financing is getting tighter and should slow things down.
Zenique Hotels is developing this 127-room property in Dublin, CA, and will be one of the first Alofts with the new Eclectic 4.0 Interior Design Scheme.
Patel adds, “If you look at the pipeline for just Silicon Valley, there are over 20 new hotels proposed, not to include those that are already in construction. With tech giants such as Google and Apple, demand continues to fulfill the new supply coming in.” He cautions, “Realistically though, all good things do come to an end. I believe there will be a slowdown in occupancy in the next couple years. While I believe ADR will not be impacted as much, it will still naturally flatten or decline with the drop in occupancy. This downturn will not (at least we all suspect) be as bad as the last one.”
Talking about the market competition, Patel says, “With so much supply coming into markets, guest experience at your hotels is more important than ever. We have to differentiate ourselves from the competition with unique amenities including those that involve technology. Most importantly we have to provide five star service at all of your properties. If a guest has one bad experience at your hotel, they can easily shift gears and stay at a competitor and never come back. The vulnerability of losing a guest, client, or account, greatly increases with new supply coming in.”
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By Dhwani Pathak Dave