An overall decline in travel has hit the hotel industry fairly hard. Despite dipping revenues, properties are being bought and sold. In San Clemente, California Sunstone Hotel Investors (REIT) has sold the its Marriott Riverside hotel in Riverside to San Diego based Pinnacle Hotels group. The move is surprising, since last week Sunstone disclosed that it is walking away from a $65 million mortgage on its W Hotel in San Diego. The company has also liquidated one of its hotels in Napa. For a complete list of Sunstone hotels, visit http://www.sunstonehotels.com
Atlas Hospitality released a report on California hotel sales earlier this year showing sales in California fell dramatically both in number of transactions and dollar volume in 2008. The trend will also continue this year and is indicative of the commercial market across the US.
However, it is not all bad news. UK based Intercontinental Hotels Group is planning on taking over stalled residential projects. IHG operates over 4,200 hotels in just under 100 countries and owns seven hotel brands.
