New developments will increase WeHo’s hotel inventory by 36%

758 hotel rooms are under construction on Sunset Strip

TRD LOS ANGELES /
Jan.January 25, 2016 03:05 PM

West Hollywood is seeing a surge of hotel development that will increase its inventory by a whopping 36 percent. 

On Sunset Boulevard alone, more than 758 hotel rooms are under construction, according to the Los Angeles Business Journal.

The new projects include CIM Group’s $365 million Sunset La Cienega project, which will be home to the 296-room James Hotel, a boutique concept operated by New York’s Denihan Hospitality Group. Howard Lorber’s New Valley and developer Steve Witkoff are also building in the area, after securing a $260 million loan for the construction of the first Edition hotel on the West Coast. They are developing the 190-room project in partnership with Marriott International and hotelier Ian Schrager.

Several luxury projects will replace hallmarks of the Sunset Strip’s musical past. A 149-room hotel called Sunset Time will be built on the site of the House of Blues, which will be demolished.

The developers of the new hotels, many of whom saw their projects stall out during the downturn and are now back in the swing of things, have reason to believe their developments will succeed. WeHo’s average hotel occupancy rate was roughly 83 percent in the first half of 2015, and, according to the Business Journal, 70 percent occupancy is considered high.

Hotels in the tourist-friendly city also get high rates. They averaged $279 a night in the first half of 2015, a 9.7 percent increase from the same period a year earlier.

WeHo is not the only submarket seeing a lot of hotel action. There are 84 hotel projects totaling 14,650 new rooms in development in Los Angeles County, Ernest Wooden, CEO of the Los Angeles Tourism and Convention Board, told the Business Journal. [LABJ] – Hannah Miet


Related Articles

arrow_forward_ios
Michael Rosenfeld,,Simon Reuben and David Reuben, with a rendering of Century Plaza (Credit: Presley Ann/Getty Images, and Dave Benett/Getty Images)

Michael Rosenfeld’s Woodridge Capital lands $275M loan for Century Plaza

Michael Rosenfeld’s Woodridge Capital lands $275M loan for Century Plaza
California is allowing barbershops and salons to reopen under new coronavirus mitigation guidelines (Credit: Noam Galai/Getty Images)

California allows barbershops to reopen, but LA holds back

California allows barbershops to reopen, but LA holds back
California State Senator Scott Wiener and Senate President Pro Tem Toni Atkins

Statewide bill would allow duplex development on single-family parcels

Statewide bill would allow duplex development on single-family parcels
LA County assessor Jeffrey Prang

LA County properties valued at nearly $2 trillion…before pandemic

LA County properties valued at nearly $2 trillion…before pandemic
Jose Huizar and Nury Martinez (Credit: Desiree Stone/Getty Images)

LA City Council moves to “close loopholes” in the development process

LA City Council moves to “close loopholes” in the development process
Jose Huizar (Credit: Kent Nishimura / Los Angeles Times via Getty Images)

Jose Huizar’s trial now set for June 2021

Jose Huizar’s trial now set for June 2021
Jose Huizar and a rendering of the project (Getty, City Market LA)

Huizar-tied community benefits fund linked to DTLA megaproject faces scrutiny

Huizar-tied community benefits fund linked to DTLA megaproject faces scrutiny
California State Senator Scott Wiener and Construction Trades Council President Robbie Hunter

Construction union pulls “anti-Semitic” Scott Wiener attack ad

Construction union pulls “anti-Semitic” Scott Wiener attack ad
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...