Oxford Capital Acquires Five Northern California Properties
SAN FRANCISCO—Oxford Capital Group, LLC has acquired five San Francisco Bay Area hotels (three in Downtown San Francisco: King George Hotel; Hotel Griffon; and The Inn at Union Square; and two in Silicon Valley: Creekside Inn in Palo Alto and Hotel Los Gatos) with plans to reposition many of the assets. Oxford Capital Group’s wholly owned affiliate, Chicago-based Oxford Hotels & Resorts, LLC, has taken over management of the properties. These five hotels bring Oxford’s Bay Area footprint to nine properties.
“We have been contrarian, value-oriented investors in the lodging sector for nearly 30 years, starting with the RTC [resolution trust corporation]crisis of the early ’90s, during the post-9/11 environment, throughout the global financial crisis and now COVID,” said John W. Rutledge, founder/chairman/CEO of Oxford Capital Group and Oxford Hotels & Resorts. “Through multiple cycles, we have consistently had the courage of our convictions to step up during periods of great uncertainty. This is a compelling portfolio of assets in strong locations and submarkets, conservatively leveraged, that we were able to secure at a particularly attractive basis. Despite the current challenging environment in the travel and hospitality space, we remain sanguine about the medium to long-term desirability of downtown San Francisco and Silicon Valley. We believe these attributes will result in a successful outcome for ourselves and our investors.”
Oxford’s Bay Area acquisitions include:
- King George Hotel: opened 1914; 153 rooms; 1,150 sq. ft. of meeting space; includes a lobby bar
- Hotel Griffon: opened 1906; 62 rooms; 308 sq. ft. of meeting space; includes Perry’s Restaurant
- The Inn at Union Square: opened 1980; 30 rooms; includes Chloe Gallery
- Creekside Inn (Palo Alto): opened 1955; 136 rooms; 1,400 sq. ft. of meeting space; includes CIBO Restaurant, Driftwood Deli and a Metro PCS store
- Hotel Los Gatos (Los Gatos): opened 2002; 72 rooms; 2,000 sq. ft. of meeting space; includes Dio Deka restaurant and Verde Touch holistic massage center
“We are optimistic about the recovery potential of the San Francisco Bay Area lodging market,” said Sarang Peruri, COO of Oxford Capital Group and partner of Oxford Hotels & Resorts. “These properties are poised to outperform, given their unique product offering and locations with historically attractive business, leisure and group demand. We plan to leverage our track record in owning and managing distinctive urban lifestyle hotels as we navigate through these unprecedented times and hopefully head towards normalcy in the coming months and years.”
The terms of the sale were not disclosed.