Los Angeles, CA – April 22, 2024 – Sonnenblick-Eichner Company has arranged a strategic joint venture equity investment into the ownership entity of the Pacific City Lodging Portfolio, located in Pacific City, Oregon. The Pacific City Lodging Portfolio is an irreplaceable collection of iconic oceanfront resort properties comprised of the Headlands Coastal Lodge & Spa, the Inn at Cape Kiwanda, Hart’s Camp, and the Cape Kiwanda RV Park. Noble House Hotels & Resorts of Kirkland, Washington provided the investment into the partnership.
This investment from Noble House allowed the existing ownership an opportunity to realize equity that they have created in the portfolio while aligning with a seasoned hospitality owner and operator dedicated to investing and growing asset value. This structure also allows ownership to continue to benefit from appreciation in value.
The Headlands Coastal Lodge & Spa offers 33 guestrooms, of which 100% are oceanfront with balconies offering full views of the Pacific Ocean and Haystack Rock. The Inn at Cape Kiwanda offers 35 guestrooms and suites with unobstructed ocean views. The Hart’s Camp and Cape Kiwanda RV Park (RV Parks) total approximately 15 acres and are located across the street from the beach. The RV Parks feature 146 pads comprised of drive-through and back-in RV parking, as well as Airstreams, cottages and cabins.
Pacific City is recognized as the premier destination on the Oregon Coast for outdoor activities and experiential leisure travel. It is also well-known for outdoor adventure activities including surfing, hiking, biking, fishing, climbing, tide pooling and boating. The area is in close proximity to several state parks and only one mile from the Nestucca River, a premier fishing and kayaking destination. Pacific City is also highly regarded for its nine miles of walkable beaches and home to Cape Kiwanda and Haystack Rock (one of the largest coastal monoliths in the world), and the Cape Kiwanda Sand Dune, a massive 240-foot sand dune.
“We generated significant buyer interest given the unique oceanfront locations in one of Oregon’s top leisure destinations. Adding to the appeal of the offering was the availability of management and franchise, as well as the strong in-place cash flow and extreme barriers to entry,” said Elliot Eichner, a Principal and Co-Founder of Sonnenblick-Eichner Company.
“We were engaged to find a buyer for the entire portfolio, but ultimately a strategic investment for the partnership gave our client the opportunity to realize future growth in the portfolio, which was a more favorable transaction for them to execute,” added Patrick Brown, also a Principal of Sonnenblick-Eichner Company.
Source: Sonnenblick-Eichner Company
