The sponsor, an entity affiliated with Majestic Hospitality and AF Canta, is seeking an 85/15 JV equity partner for the $81.49 million construction of the 10-story 200-key Daly City Sheraton hotel in San Francisco, California. The sponsor is in the process of acquiring the fully-zoned and entitled 1.26-acre site from Daly City for $1 million. The hotel will feature a 25-year Sheraton by Marriott flag representing a new concept and brand, which incorporates the power of the collective and a community experience for guests. Ground breaking is expected to commence July 2019 with delivery 1Q 2021 (See draw schedule in Section VI). The expansive list of community amenities includes a yoga studio, fitness center, outdoor deck, and spa. The hotel room mix is comprised of 120 kings, 70 queens, and 10 suites featuring luxurious high-end finishes and expansive views. Additionally, the development has 7,150 SF of meeting space, 8,450 SF of restaurant space, and 160 SF of small-shop retail space. The sponsor is currently in the process of securing a 60% LTC construction loan.
The Sheraton offers a truly unique hotel experience situated just nine-miles (10 minutes) northwest of the San Francisco International Airport and eight-miles (20 minutes) southwest of San Francisco CBD. Hotel guests enjoy the subject’s enviable location just minutes away from some of the greatest food, entertainment and scenery in the country. One key component of the Sheraton’s premier location is the easy access to top rated hiking state parks including, Thornton Beach State Park, Marin Headlands, and Twin Peaks. These public amenities are easily reached via the Bay Area Rapid Transit (BART). This asset signifies a rare nexus between luxury and accommodation.
The Daly City Sheraton is ideally positioned at the northwest corner of John Daly Boulevard and Junipero Serra Boulevard, adjacent to the San Francisco Golf Club, I-280, and the Daly City BART station. Daly City is home to the world-renowned TPC Harding Park, which sits just three-miles from the subject. TPC Harding Park represents a steady tourism draw as the park hosts numerous PGA events and will be the site for the 2020 Presidents Cup. The Daly City Sheraton offers hotel guests a vibrant golf community within walking distance from the Sheraton’s front door. The asset will operate just 1.5-miles from some of the best golf courses in the state of California, which will draw in golfers from all over the country seeking to play these pristine courses.
The sponsor is an entity affiliated with Majestic Hospitality and AF Canta. Majestic Hospitality Group is a developer and consultancy firm specializing in high-quality boutique and major flag hotels and resorts. Majestic was founded 10 years ago, and since inception, the company has been involved in the development of 4,000 keys across 20 projects. Majestic’s current portfolio includes seven hotels totaling 893 rooms and has strong strategic relationships with Hilton Hotels, Dorchester Collection, Six Senses, Prince Hotels, IHG, Wyndham, Hard Rock, Trust Hospitality, Hemingway Hotels, Fortress Investments, and Urban Smart Growth. Aileen Canta, founder of A F Canta Inc (2005), is a hospitality development firm with offices in Newport Beach, California and Denver, Colorado. Aileen brings nearly 20 years of experience in the hospitality industry, mixed-use, and commercial building. She has been immersed in the development and construction of various hotel projects including boutique, select service, full-service, and resorts. The sponsors have 30 years of combined hospitality experience and have developed 6,000 keys across 40 projects.
The world-class development team is comprised of The Walsh Group as the GC, Kollin Altomare Architects, and Interstate Hotels & Resorts as the operator. Founded in 1898, The Walsh Group is a fourth-generation family-owned company providing design, build, finance, operation and outfitting services. They are the 13th largest contractor in the United States, operating out of 18 strategically located regional offices across North America. Walsh has completed more than 300 design-build projects totaling more than $10 billion and is consistently ranked as one of the largest design-build firms by Engineering-News Record. Kollin Altomare has contributed to more than 120 skylines in 25 states and four countries. The company has successfully completed over 150 projects for clients such as The Ritz Carlton, Marriott, Lowe’s Coronado Bay Resort, Strategic Hotels & Resorts, Embassy Suites, Montage Resort, among others. Interstate Hotels & Resorts is the world’s leading hotel management company. Thousands of hotel owners, developers, and guests have discovered the Interstate difference in their 500-property global portfolio of hotels, resorts and conference centers.