Fairmont Hotels & Resorts will soon take over management of The Grand Del Mar in San Diego, Calif., and rebrand it as the Fairmont Grand Del Mar.
Upon closing of the deal, which will see affiliates of private equity firm Blum Capital take majority ownership of the resort, Fairmont will oversee day-to-day operations of the property under a long-term management agreement. Manchester Financial Group and Fairmont’s parent company FRHI Hotels & Resorts (FRHI) will both hold a minority interest in the hotel.
The announcement follows another high-profile California hotel deal between Fairmont and Richard Blum, which last year saw the two acquire the Claremont Hotel Club & Spa in Berkeley, Calif. Following that acquisition, a multimillion dollar refurbishment project was undertaken to revitalize the hotel.
“With the beauty and climate of San Diego attracting travelers from all over the world, we’re extremely pleased to be adding an asset of this caliber to our hotel collection,” said William Fatt, chairman and chief executive officer, FRHI. “We’ve aligned with some great partners and are very happy to be working with Blum Capital and Richard Blum on this very exciting deal, which will further expand our already strong presence in the California market.”
“The acquisition of the Grand Del Mar, one of the most revered luxury hotels in the United States, aligns with our investment strategy and perfectly complements Fairmont’s unrivaled portfolio of hotels in the California market and abroad,” said Richard C. Blum, chairman and president, Blum Capital. “We look forward to showcasing this remarkable asset to an even greater audience and working with a celebrated brand like Fairmont to further enhance the property’s award-winning reputation.”
Featuring Spanish and French influences, and a design reflecting the Mediterranean style of American resort architect Addison Mizner, the property is well suited to San Diego’s warm climate and outdoor lifestyle. Set amid the Los Peñasquitos Canyon Preserve in Southern California, the resort features 249 guestrooms, plus eight two-story 4,500-square-foot villas.
Key features of the luxury resort include a 21,000-square-foot spa; 18-hole Tom-Fazio designed golf course and clubhouse; six food and beverage venues; and a fitness center. The resort also houses boutique shopping outlets and 27,000 square feet of meeting space, including a 10,000 square foot ballroom.
