Hyatt Centric Delfina Santa Monica wraps renovation
Hyatt Centric Delfina Santa Monica in California has completed a comprehensive renovation that reconfigures guestrooms, meeting areas and public spaces. The project involved all 315 guestrooms as well as 15,000 square feet of meeting and event space.
According to the announcement, the renovation focused on updating interior design across the property and expanding the hotel’s meeting and event offerings. The redesign was led by Waldrop + Nichols Studio and applies a coastal-inspired color palette and materials throughout guestrooms and shared areas.
Meeting and event facilities were reconfigured as part of the renovation. The property now includes 11 event spaces. The largest venue is the Delfina Ballroom, a 4,526-square-foot rooftop space described as Santa Monica’s only rooftop ballroom. The ballroom can accommodate up to 400 guests for receptions and can also be arranged for theater-style or classroom-style events. Additional meeting areas include Sandbox, a 500-square-foot venue on the mezzanine level that incorporates games, workstations and a bar. The space can host receptions or smaller seated gatherings.
A new food and beverage outlet also opened as part of the renovation. Coastal Harvest Bar & Kitchen serves breakfast, lunch and dinner and is accessible from Pico Boulevard. The restaurant includes a dining room and lounge area. The hotel stated that the venue is open to hotel guests and the local community.
Guestroom updates were completed across all 315 rooms. The renovation introduced new interior finishes and furnishings as well as updated layouts. Seven Sunset Suites were added, each with a private balcony and whirlpool hot tub. Guestrooms offer views of the ocean, mountains, city or pool depending on location.
“This transformation represents our commitment to creating spaces where guests don’t just stay—they connect, recharge, and find inspiration,” said Shawn Holliday, general manager of Hyatt Centric Delfina Santa Monica. “From the busy executive seeking a refreshed oceanside retreat to couples celebrating life’s milestones against our iconic coastal backdrop, every element has been thoughtfully designed to deliver experiences that are both meaningful and memorable. The completion of this renovation solidifies our position as Santa Monica’s premier destination for those seeking authentic California spirit in the heart of the action.”
The property also features a heated saltwater pool, a fitness center and beach cruiser bicycles. Its location provides walkable access to the Santa Monica Pier, beaches and downtown areas. With the renovation complete, Hyatt Centric Delfina Santa Monica is positioned to host meetings, events and group stays while continuing daily hotel operations.
Sonesta International Hotels Corporation has opened The Midtown Hotel, MOD Collection by Sonesta in Boston. The property is a 159-room hotel located at 220 Huntington Avenue in the Back Bay neighborhood. The hotel recently underwent a renovation prior to joining the MOD Collection by Sonesta.
The opening marks Sonesta’s second property in the Boston and Cambridge area and its first location in Back Bay. The Midtown Hotel operates under the MOD Collection by Sonesta brand, which was introduced in 2023. The hotel is positioned near The Prudential Center, Back Bay station and Fenway Park.
“We are thrilled to open The Midtown Hotel, MOD Collection by Sonesta, our second property in Boston/Cambridge and the first in Back Bay,” said Keith Pierce, Sonesta’s EVP and president of Franchise & Development. “The MOD brand was introduced in 2023 and has taken off in the years that followed, bringing a flexible approach to upscale hospitality. Located in close proximity to The Prudential Center, Back Bay station, and Fenway Park, guests of The Midtown Hotel, MOD Collection by Sonesta will have plenty of opportunities for exploration.”
MOD Collection by Sonesta is positioned as a brand focused on modern lifestyle travel. According to Sonesta, hotels within the MOD portfolio are designed for guests seeking flexibility during their stays. The brand emphasizes creative design elements and curated food and beverage offerings. MOD hotels are described as adaptable environments that allow guests to maintain daily routines while traveling.
The Midtown Hotel participates in the Sonesta Travel Pass loyalty program. Guests staying at the property can earn or redeem points through the program. With the opening complete, The Midtown Hotel, MOD Collection by Sonesta is now operating as part of Sonesta’s expanding portfolio in the Boston market.
California saw a year-over-year increase in new hotel openings in 2025, but that’s a reflection of the projects nearing the finish line last year and not a sign of a new trend.
Atlas Hospitality Group’s California Development Survey 2025 Year End reports 50 new hotels with 7,100 rooms opened last year, a 43% increase compared to the number of hotels that opened in 2024.
But some context is necessary. The mid-year survey found 36 hotels opened in California in the first six months of 2025, a 64% year-over-year increase. The number of hotel rooms that opened was 5,369, a 135% increase.
That gives the impression that openings significantly slowed in the second half of the year, but the 1,600-key Gaylord Pacific Resort & Convention Center opened in May in Chula Vista. Excluding the Gaylord opening, 35 hotels opened with 3,769 rooms in the first half of the year compared to 15 hotels with 3,331 rooms in the second half.
“To have a project that size, I mean, that could equate to 10 hotels,” Atlas President Alan Reay said. “That definitely threw it off.”
The hotel project pipeline for California continues to shrink. By the end of 2025, there were 96 hotels under construction with 11,121 rooms, and 1,120 hotels in the planning phase with 140,526 rooms. At the end of 2024, there were 124 hotels under construction with 16,468 rooms and 1,186 hotels in the planning phase with 153,360 rooms.
The normal barriers to entry for new hotel projects in California remain, but last year also saw increased costs for construction materials and furniture, fixtures and equipment because of the tariffs, Reay said. The cost of construction labor also increased because many crews lost laborers due to U.S. Immigration and Customs Enforcement activity in the state.
“With the tariffs and everything else, it’s just escalated the price of new construction,” he said. “That’s coming in just for a simple three-story, grade-level parking, 120- to 130-room hotel, the construction cost is $250,000 to $300,000 a key.”
The even-higher cost of construction makes new hotel development projects unappealing today, Reay said. The big discount to replacement cost will continue to boost the buying market.
“If you’re a hotel contractor or architect for new hotels, it’s going to be a very slow period of time, and I think that’s at least for the next 12 to 24 months,” he said.
Even though the Federal Reserve decreased the federal funds rate by 75 basis points in 2025, most hotels are not tied to the prime rate, Reay said. Instead, they’re tied to the five-, seven- or 10-year Treasury notes. Construction financing is short-term, so typically lenders will provide a prime-based loan at 1.5 or 2 points above prime for a short period of time.
“Yes, it’s making that appealing, but as a hotel owner, I have to look at it’s going to take me two years to get the project completed, then I’ve got to take out financing,” he said.
The five-year note is at about 3.7%, and the spreads above that are at about 2.5%. The overall rate ends up being in the low 6s, which is better than it was about 12 to 18 months ago, but it hasn’t dropped as rapidly as the prime rate, he said. From a financing standpoint, the best-case scenario is in the low 6s for a five- to seven-year fixed-rate loan that could have a capitalization rate that works out to be 8-plus. On top of that, hotel operational costs are increasing faster than revenue per available room is growing.
“It’s making those deals tough to do,” he said. “I think fundamentally it is the high cost of construction first and foremost, and interest rates are secondary to that.”
In the end, it’s the discount to replacement cost that makes the difference between an owner deciding to build or buy.
“People are looking at the amount of money that they can buy for an existing hotel, and even if they've got to spend $100,000 to $150,000 per room, at least they're below what it’s going to cost them for a brand-new hotel, and they're open a lot quicker than they would be with a new construction.”
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