Hotel developer Doug Manchester has failed yet again to
strike a deal to sell his majority interest in the Manchester Grand
Hyatt, terminating negotiations with his latest suitor, Orange County-based
Sunstone Hotel Investors.
In an e-mail sent last week to the San Diego Unified
Port District, which is the hotel’s landlord, Manchester’s attorney,
Michael Levinson, said Sunstone had made “material changes” to the
terms of the proposal and therefore, the “deal has been terminated.”
Manchester had recently sought to broker a deal with Hyatt Hotels to
give up his majority interest in exchange for a minority stake in the
San Diego high-rise, along with two Hyatt properties in Atlanta
and Chicago.
That deal as well ultimately fell apart.
Sunstone, a real estate
investment trust with interests in 30 hotels nationwide, is best known
in San Diego for having walked away from the W Hotel downtown
last year after concluding the property was no longer worth the debt it
owed.
|
Manchester Grand Hyatt will not
become
a Sunstone-owned hotel. |