San Diego-based Pacifica Host Hotels
has added yet another coastal property to its growing portfolio -- the
98-room Inn at Morro Bay, which
fell into foreclosure nearly a
year ago.
The aging Central Coast property, built in 1960 and burdened with
nearly $14 million in debt, sold for roughly $9 million, said Michael
de Jesus, vice president of sales and marketing for Pacifica.
While the hotel is in need of extensive renovation, its prime
waterfront location made it an attractive purchase, drawing more than
20 offers, according to Alan Reay,
founder of Atlas Hospitality Group, which brokered the sale.
The hotel's lender, Wells Fargo Bank,
had foreclosed on the property last August, he said. Hotelier and
developer John King had purchased the hotel in 1993 and in recent years
had refinanced, amassing more debt on the property, noted Reay.
Although roughly 40 percent of the rooms were renovated in 2005, as
much as $2.5 million needs to be spent on upgrading the rooms,
restaurant and bar, Reay estimated. |
/ Courtesy of Atlas Hospitality
The 98-room Inn
at Morro Bay, which fell into foreclosure
last August, recently sold
for roughly $9 million.
|
