IN-DEPTH: Strategic Hotel buys remaining stake in San Diego hotel for $210m
Strategic Hotels & Resorts has agreed to acquire the remaining 63.6 percent ownership interest in the 757-room Hotel del Coronado in San Diego for $210 million.
Prior to the transaction, Strategic Hotels & Resorts owned a 36.4 percent ownership position in the asset through a joint venture with certain affiliates of Blackstone Real Estate Partners VI, sponsored by The Blackstone Group. Its partner is KSL Recreation Corp., also known as KSL Capital Partners.
The new transaction values the asset at a gross value of approximately $787.0 million, net of approximately $18.0 million of cash currently held at the property and within the joint venture, and includes the assumption of the existing $475.0 million mortgage financing.