Certares and HHM Partner to Acquire Historic California Hotel
Certares Management LLC (together with its affiliates, “Certares”), a leading investment specialist dedicated to the travel, tourism, and hospitality sectors, has acquired the Courtyard San Diego Downtown. The hotel is a recently renovated lifestyle Marriott asset located centrally in Downtown San Diego on Broadway, proximate to the Gaslamp Quarter, the local entertainment and nightlife district. The 245-room historic hotel was originally built as the San Diego Trust & Savings Bank headquarters in 1927 and includes historic features throughout the building, such as an original bank vault that now serves as a differentiated meeting space. It is positioned adjacent to the soon-to-be redeveloped Horton Plaza, and the San Diego Convention Center is within walking distance for easy access to conferences and events.
“We are pleased to announce the purchase of the Courtyard San Diego and to continue our growth as a leading owner of differentiated hotel real estate with the acquisition of our ninth hotel asset. In addition, we are very excited to partner with HHM on our first hotel acquisition together,” said Nolan Hecht, Senior Managing Director at Certares. “We look forward to the Courtyard’s accelerated growth after the completion of a significant renovation as the San Diego market continues to enhance its presence as an international leisure, convention, and life sciences hub,” added Mike Kusy, Vice President at Certares.
The property, which has landmark status, remains an important commercial structure associated with the history of the San Diego banking industry. It is an outstanding example of commercial historic preservation that has transformed one of San Diego’s premier banking institutions into a vibrant hotel in San Diego’s notable Gaslamp Quarter.
HHM has operated the hotel for over a decade. “We are thrilled to expand our investment platform with such an established partner,” said HHM President & CEO Naveen Kakarla. “We look forward to working closely with the Certares leadership team, while continuing to drive market share growth and provide travelers with an authentic San Diego experience.”
Established in 2012, Certares focuses on direct investments in proprietary transactions, leveraging deep sector experience in the travel and hospitality industries, and with a consistent emphasis on partnership with management teams to drive growth. With over $10 billion of assets under management as of March 31, 2022, Certares brings together a team with decades of both operational and investment experience in private equity, travel, tourism, hospitality and travel-related business and consumer services. Since launching its real estate platform in early 2021, Certares has acquired nine hotels comprising over 1,850 keys across the country. For more information, please visit www.certares.com.
HHM is an award-winning hotel management and investment company that operates over 185 full-service and select-service hotels across 30 states and in virtually every major hospitality market from coast to coast. HHM is a leading manager of Marriott and Hilton hotels, while also operating over 30 independent luxury and lifestyle hotels ranging from The Rittenhouse Hotel in Philadelphia to The Joule Hotel in Dallas to The Whitney Hotel in Boston. HHM’s highly experienced and stable operating team is known for being nimble, accountable, and entrepreneurial in how they drive market-leading results for owners including publicly traded companies, private equity firms, and family office investors. Additional information on HHM can be found at hhmhospitality.com and independentcollection.com