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San Diego's Hotel La Jolla, Which Faced Foreclosure, Purchased by an
Affiliate of Westport Capital Partners; Ongoing Renovations to Continue


By Lori Weisberg, The San Diego Union-Tribune
June 8, 2011

The 108-room Hotel La Jolla, which earlier this year had faced the possibility of foreclosure, has a new majority investor and nationally known operator committed to completing a major makeover of the decades-old property.

An affiliate of Westport Capital Partners, an investment management firm that specializes in distressed properties, has purchased more than $30 million in debt on the hotel at a discount and infused new capital to help finance ongoing renovations of the La Jolla Shores hotel.

"We’re very happy we’ve been able to come into the situation and provide capital to complete the renovation and help the property achieve its maximum potential," said Sean Armstrong, a principal with Westport, which has offices in Los Angeles and Wilton, Conn.

In 2009, the group of investors that purchased the 11-story hotel four years earlier for $25 million, had defaulted on its loan payments, and by last year did not have the funds necessary to complete ongoing renovations of all 108 guest rooms.


The Hotel La Jolla, a longtime fixture in La Jolla Shores, has been rescued from foreclosure by a new majority investor. — Courtesy of Kimpton Hotels


For the rest of the story please visit:
http://www.signonsandiego.com/news/2011/jun/07/longtime-la-jolla-hotel-has-new-owner-and-operator/


Contact:

Lori Weisberg, Staff Writer
San Diego Union-Tribune
350 Camino de la Reina
San Diego, CA  92102
619-293-2251
lori.weisberg@uniontrib.com


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