In 2015, Blackstone agreed to buy Strategic and its portfolio of hotels, which included the Hotel del Coronado. But the parting of the ways turned out to be short-lived. Then just three years later, Strategic bought out Blackstone’s interest in the Hotel Del.
As part of a deal struck with then-owners Strategic Hotels and Resorts and KSL Resorts, Blackstone became a majority owner, and new financing was secured with the original lender. The company has a long, on-again, off-again relationship with the hotel, beginning in 2011 when it came to the property’s rescue with an infusion of cash to avert a potential default on more than $600 million in loans that were coming due. It is the largest investment the real estate investment firm has ever made for a renovation of any of its lodging assets, said Rob Harper, head of real estate asset management Americas for Blackstone. The resort’s ambitious makeover and restoration marks a remarkable investment for a hotel owner, even one as huge and well-heeled as Blackstone. (Ana Ramirez/The San Diego Union-Tribune) Biggest investment yet for a Blackstone hotel
