Through its extensive network of industry contacts, Hotel Innvestor learned about the possibility to acquire the fee simple interest in an oceanfront boutique hotel in one of the most coveted markets in the country. The property was comprised of 10 contiguous parcels totaling 1 acre of land.

After meeting with the owners, HI found they were the grandchildren of the original developer and that the property had not been on the market since 1948. It was also clear the property was clean, but not being run to its full potential.

HI quickly seized on the opportunity and executed a purchase and sale agreement and opened escrow on the acquisition. After gaining control of the asset, HI brought in multiple equity partners as well as a local market developer/owner familiar with zoning and building code to help unlock additional value.

The partnership was able to generate an extremely attractive return by selling off the individual parcels to different buyers. HI was able to execute on the opportunity by sourcing the deal, brokering the sale, bringing in additional equity and operational partners and working with the city to clarify zoning and density issues that ultimately created tremendous value.