The Westin Long Beach, a longtime staple of the city’s convention scene, has changed hands for about $42 million, a sharp drop from what it fetched less than a decade ago. The 469-room hotel at 333 E. Ocean Blvd., right across from the Long Beach Convention & Entertainment Center, has been a go-to spot for meetings, galas and visiting delegations, yet it just sold at a price that raised a few industry eyebrows.
Property records from late last month show that Irvine-based Khanna Enterprises paid roughly $42 million for the Westin, according to The Real Deal. That works out to under $100,000 per room for the 469-key property. The sellers, Rockpoint and Highgate, had acquired the hotel for about $85 million back in 2017, which makes the latest deal look like a clearance sale in comparison.
Discounted price and required upgrades
So why the markdown? Deal materials and local coverage tie the lower price to a hefty, brand-required property improvement plan of roughly $25 million plus other rising costs that come with running a big-box hotel in today’s market. Traded reports that the previous owners had already poured about $23 million into renovations before the sale, leaving Khanna Enterprises to tackle the remaining round of capital upgrades.
Khanna Enterprises steps in
The buyer, Khanna Enterprises, is a family-owned hotel operator based in Irvine in Orange County that has been scooping up discounted properties in recent years, company executives told reporters. According to the Press-Telegram, the leadership team includes Rod Hurt and Josh Friedman. The hotel’s general manager, Peter Sutfin, is staying put and will continue to oversee day-to-day operations on site, providing some continuity as the new owner takes over.
What this means for downtown
Analysts say the sale underscores how soft the Los Angeles-area hotel market has become, especially for large downtown convention hotels that are trying to make the numbers work in the run-up to the 2028 Olympics. The Real Deal noted that the price came out to less than $100,000 per key, a particularly low figure for a full-service, branded property. That kind of pricing could push owners to roll the dice on major capital investments in order to keep their flag and stay competitive.
Calendar and local details
For now, it is business as usual at the Westin. The hotel remains on the local social calendar, with the Race Car Drivers Club gala still set for next Thursday, and it is expected to host some athletes when the 2028 Summer Olympics come to town. The Press-Telegram notes that the lobby refresh features a living green wall and a sizable chandelier, while a Venus-like statue salvaged from the old Fox West Coast Theater now watches over a garden patio on the property.
