L'Auberge Del Mar, in Del Mar, Calif., can be yours, for the right price. The hotel is reportedly seeking a new owner after brokerage firm Eastdil Secured put out a flier annoucing it had been retained to solicit purchase offers.
As the Del Mar-Carmel Valley Patch reports, the flier does not make mention of the property’s list price, though it does note the hotel underwent a 16-month, $26-million renovation project in 2009.
San Diego-based hotel broker and HREC Investment Advisors Principal Michael Armstrong told The Patch that he believes the 121-room L’Aburge Del Mar is likely to sell in a range comparable to what other, local properties have sold for.
Two hotels, the 53-room Rancho Valencia and 112-room La Valencia, were sold for $15 million in 2008 and $41 million in 2011, respectively. Armstrong, using a price-per-room methodolgy, thinks the L’Aburge Del Mar has the potential to sell for between $34.2 and $44.3 million.
"The sale of a hotel is usually a 90 to 120 day process," he told The Patch. "When there is a conscious decision to sell it is through a structured sales process with a broker, and it is a deliberate, purposeful event."
Those who have vacations, weddings, or events planned at L’Aburge Del Mar, he notes, need not be concerned about the property changing hands.
While the sale of the hotel should not disrupt the guest experience, a new owner could bring in a new manager. The hotel is currently managed by Destination Hotels and Resorts. "It is highly likely the new buyer will bring in a new management company," Armstrong said. "It is possible they would keep the current management company, but I don’t believe this will be the case."
L'Auberge Del Mar overlooks the Pacific Ocean and is known for hosting weddings and honeymoons. It is 20 minutes north of the San Diego International Airport and 90 minutes south of Los Angeles.