SAN DIEGO—Holliday Fenoglio Fowler, L.P. (HFF) has closed the sale of and financing for the acquisition and repositioning of the Sommerset Suites Hotel into an 80-unit boutique apartment community named The Whitson in San Diego’s Hillcrest neighborhood.
SENTRE purchased the hotel free and clear of existing debt. Working on behalf of the new owner, HFF placed the five-year, fixed-rate loan with a life insurance company. Loan proceeds will be used to purchase the hotel and fund the repositioning.
The property was originally designed in the late 1980s as a boutique apartment community. The sellers converted the property into a hotel in the mid-1990s, leaving most of the apartment amenities intact. The Whitson will feature studio and one-bedroom units with 96 parking spaces, 80 of which are covered. Located at 606 Washington St., the property is in the heart of Hillcrest, one of the city’s live-work-play areas.
Hunter Combs, director, and Scott Hall, managing director, led the HFF investment sales team. Senior Managing Director Aldon Cole led the HFF debt placement team.