Dune Drifter, a new company based in Century City, California, founded by investors Cramer Williams and Chris Harrison, grandson of Bill Marriott, acquired the 125-room beachfront Pacific Edge Hotel in Laguna Beach, California, from Highgate Hotels and Morgan Stanley for $80 million ($640,000 per room), according to the Orange County Business Journal. The sellers purchased the property in 2017 for $57.5 million.
The deal represents the highest price per room paid for a hotel in California this year.
The new owners are planning a renovation originally proposed by Highgate and Morgan Stanley. The approved plans, which could cost more than $125 million, call for the construction of 25 rooms, a 60-seat cafe, office and conference areas, and a porte cochère entrance. The pool and spa will also be relocated.
Built in 1963, the hotel consists of 11 buildings that stretch from the Pacific Coast Highway to the beach.
Dune Drifter was founded in April by Williams and Harrison. Williams is a Wall Street veteran who founded Dauntless Capital Partners in Houston.
