Ever since Staples Center and L.A. Live, downtown Los Angeles has had a renaissance of sorts, with new hotels following suit, betting on demand for product. Now, word is Ennismore, a London-based hotel developer, is bringing the hip Hoxton brand to the area. The brand is well known in Europe, with multiple outposts (London, Amsterdam and Paris to come) and one set to also debut in Williamsburg, Brooklyn, in 2017.
According to the LA Times, Ennismore has acquired a historic building in downtown for $30 million with plans to convert it.
As the area continues to burgeon and thrive, overseas money is coming in. Korean Air, for example, is developing an InterContinental hotel as part of the Wishire Grand property.
"Downtown is thriving and international companies are all taking note," Sara Lo, a senior manager specializing in the hospitality business at consulting and accounting firm Ernst & Young, told the LA Times.
As The LA Times writes: "The entry of a niche foreign hotel firm into downtown Los Angeles marks a stark reversal from decades past."
According to Lo, the downtown LA market has an occupancy rate of 77 percent and from January through September, the average daily room rate downtown was $202, 6.7-percent higher than during the same period in 2014.