The former NoMad Los Angeles hotel, now the Hotel Per La, in Downtown LA
Property owner Daniel Negari purchased the 241-room Hotel Per La in Downtown Los Angeles.
The $34M sales price works out to roughly $140K per room, according to The Real Deal. The seller was lender Waterfall Asset Management, which took control of the property about a year ago after the outstanding debt totaled more than $134M, The Real Deal reported.
The hotel opened in 2018 under the Sydell Group as the NoMad LA. It closed after the pandemic struck, then reopened in 2022 as the Hotel Per La and was operated by the Sage Hospitality Group.
At that time, HN Capital Partners told Bisnow it had partnered with existing owners of the hotel to recapitalize the hotel, investing in the repositioning and reopening. It declined to name those owners, but property records showed the hotel hadn’t traded hands since 2015, when it was purchased by an LLC connected to Sydell Group, the parent company of the NoMad brand.
It isn’t the first hotel Negari has locked down in the last 12 months. Earlier this year, Negari purchased the Chamberlain hotel in West Hollywood for $43.5M, or $378K per key, from Pebblebrook Hotel Trust. Late last year, Negari purchased the Montrose, a West Hollywood hotel by Sunset Strip, from the same REIT for roughly $44M, or about $333K per key, the Real Deal reported.
The Los Angeles hotel market has been mixed since the pandemic. Tourism to the region has suffered from several factors, especially as last year’s fires and immigration raids piled up.
Even the World Cup didn’t make much of an impact. Distressed hotel sales shot up in the state in the first half of this year, with Southern California leading the way. Major REITs have become net sellers, and owner-operators and other private outfits have stepped up to buy properties, often at attractive discounts.
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