Press Release: Lowe Enterprises
July 3, 2002
LOS ANGELES, CA -- Lowe Enterprises, a national real estate investment, management and development firm, announced
today the closing of Destination Hospitality Development, LLC, a $52 million investment fund providing equity capital
for hotel and resort developments undertaken by Lowe Enterprises. An equity investment of $29.5 million has been
allocated for the Blackhorse Hotel, a 210-room resort and conference center on North Torrey Pines Blvd. in La Jolla,
Calif. Construction is scheduled to start in the fall.
"Capital has been contributed by institutional and individual investors who are firmly committed to the Blackhorse
Hotel. In addition, Lowe has made an equity investment in the development," said Brad Howe, senior vice president,
Lowe Enterprises.
Lowe has an ownership interest in the Sunriver Resort in Central Oregon and the Wild Dunes Resort in the Charleston
area and has completed significant development and redevelopment at both properties. Lowe also currently operates
30 independent, luxury and upscale hotels, resorts and golf clubs in the United States and United Kingdom, featuring
more than 7,600 guestrooms, 16 golf courses, and six full-service spas, through its hospitality management subsidiary,
Destination Hotels & Resorts. These properties include the famed Hotel Del Coronado, the Argent Hotel in San
Francisco, the Monarch Hotel in Washington, D.C., Vail Cascade Resort and Spa, the recently completed NINE ZERO
in Boston, and the Cliveden properties in the U.K.
"Hotels and resorts have always been an important part of Lowe's diversified real estate investment and development
strategy. We have a solid track record and an experienced team leading the Blackhorse project," notes Rob
Lowe, senior vice president of Lowe's Destination Development Corporation.
Lowe was selected to develop the resort and conference center by the property's owner, the University of California
at San Diego (UCSD). The Blackhorse Hotel will be set on 9.5 acres adjacent to the UCSD campus and bounded by the
Salk Institute and the residential communities of La Jolla Farms and Blackhorse. Designed by Hill Glazier Architects,
it reflects the "Old California" style indigenous to the area. The 210-room hotel will consist of rambling
low-rise buildings constructed around large, richly landscaped courtyards and feature arched doorways and tile
roofs. In addition, it will offer a 25,000-square-foot conference facility fitted with the latest technologies
and designed to accommodate the conference needs of a range of industries such as academia, science, technology
and corporations.
The luxuriously appointed Blackhorse Hotel will feature a host of resort amenities including a large pool and spa,
fine dining, nearby golf and easy access to the beach and other recreation areas. It is scheduled to open in the
spring of 2004.
"We know the strengths of the San Diego market and believe that the hotel will be an attractive option for
conference planners as well as leisure visitors," notes Howe. Lowe currently manages two of the region's premier
resorts, the Hotel Del Coronado and the L'Auberge Del Mar Resort and Spa, properties which the firm acquired on
behalf of pension fund clients.
"We are evaluating additional hotel or resort development opportunities, but further investments are subject
to investor approval," he added.
The Destination Hospitality Development fund closed in November 2001 contingent upon receiving all necessary approvals
and financing for the Blackhorse Hotel, which have been secured.
Los Angeles-based Lowe Enterprises is a leading national real estate development, investment and management firm.
Over the past 30 years, it has developed, acquired or managed more than $6 billion of real estate assets nationwide.
Lowe maintains additional offices in Atlanta, Denver, London, Phoenix, San Francisco, Sacramento, Seattle, Shanghai
and Washington D.C.
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Contact:
Casey Sayre & Williams, Inc., Santa Monica, Calif.
Karen Diehl, 310/458-1224
kdiehl@cswpr.com