Real EstateAcquisitionsSheraton Kona Resort & Spa to be Acquired by Outrigger Hospitality Group

Sheraton Kona Resort & Spa to be Acquired by Outrigger Hospitality Group

HONOLULU—Outrigger Hospitality Group has revived its plan to acquire ownership of Sheraton Kona Resort & Spa at Keauhou Bay, a 509-room property in an oceanfront location on the Island of Hawai‘i. The transaction is expected to close in late August 2021, at which time the property will be rebranded as Outrigger Kona Resort and Spa.

With nearly 75 years of leadership in Hawai‘i’s hospitality industry and 25 hotels, resorts, and vacation condos across the Hawaiian Islands, Outrigger is positioned to steward this property.

“We are grateful for the opportunity to return to Hawai‘i Island with a full-service Outrigger resort and share the legacy of this remarkable place in a responsible and sustainable manner,” said Jeff Wagoner, president and CEO of Outrigger Hospitality Group. “The COVID-19 pandemic put this purchase on a brief pause, so we’re glad to be back on track and look forward to welcoming guests to our new home.”

This investment in Sheraton Kona Resort & Spa is directly aligned with Outrigger’s strategic business plan to expand its presence in Hawai‘i and beyond. Just last week, Outrigger announced the purchase of three hotels in Southern Thailand, which are located in beach locations in the Asia Pacific: Phuket, Khao Lak, and Koh Samui. The combined acquisitions add nearly 1,000 new rooms to Outrigger’s global portfolio.

The purchase of a new full-service resort in Kona underlines the hospitality company’s commitment to its home Hawai‘i market. Other recent investments include Outrigger Reef Waikiki Beach Resort’s $80 million transformation, which is scheduled for completion at the end of this year, and Waikiki Beachcomber by Outrigger’s $35 million modernization, creating the first craft hotel in Hawai‘i.

Outrigger is renowned for being a brand that perpetuates the history and traditions of the places where it does business. Its corporate operation is a values-based process called “The Outrigger Way,” caring for the host, the guest, and the place, that was founded 25 years ago under the direction of Hawaiian historian and scholar, Dr. George Kanahele. In this spirit, Outrigger is committed to perpetuating the history of this iconic resort, while sharing the rich culture of Keauhou Bay, the birthplace of King Kamehameha III.

“Upon finalization of the sale, we will begin outlining a property modernization masterplan that is aligned with the local culture and further elevates the grounds and guest experience. We are pleased to resume our partnership with landowner Kamehameha Schools and enhance the property in a manner that honors the legacy of this land,” added Wagoner.

The 22-acre resort is perched atop lava-rock cliffs and includes an oceanfront pool and waterslide, spa, wedding chapel, cultural center, fitness center, kids club, two restaurants, and four indoor meeting venues—including a 10,000 square-foot convention center, the largest on the Kona Coast.