Century Plaza Hotel Sold
To Become Hyatt Regency

 

August 24, 2005. 

The Century Plaza Hotel, where Ronald Reagan celebrated his presidential victory; Arnold Schwarzenegger, his gubernatorial victory; and the astronauts, the first manned flight to the moon; is in the process of being purchased.

According to Andy Fixmer of the Los Angeles Business Journal, the buyer is the Chicago based Global Hyatt Corp., and the price is $293,000,000 or $403,000 for each of the hotel’s 728 rooms.  Those figures represent the highest price ever paid in California per hotel room.

Hyatt expects to lay out $22,500,000 to renovate and remodel hotel guest rooms and common space.  It will add a Regency level and a Hyatt regency Club.

The hotel was designed by the Japanese architect Minoru Yamasaki and completed in 1966.  Since then it has hosted numerous motion picture world premiere banquets as well as every American president since Lyndon Johnson.  A demonstration of over 10,000 anti-war protesters outside the hotel when Johnson was giving a speech is believed to have convinced him that another presidential campaign would be dogged by protesters and further inflame the divisions within the country over Vietnam.  Some politicians and historians have credited the demonstration as among the reasons Johnson not to run for reelection.

When the hotel opened, it was considerably more beautiful at night than it is today.  Outside each room was a long fluorescent light, which created a spectacular nocturnal night show.  However, the lights almost turned night into day.  Even window shades and curtains did not stop the light from shining into the windows of people trying to sleep.  Tract No. 7260 lodged a protest as did many neighbors whose homes faced the Century Plaza.  They did so despite the generally acknowledged belief that the white fluorescent lights had added class and beauty to a drab skyline. 

In deference to the neighborhood, the hotel switched off the fluorescent lights.  Then, one night without any warning, the lights went on again.  But this time they were amber and unlike the bright, beautiful white lights, they did not disturb people in their bedrooms.  Now, forty-five years later, the amber lights, not the beautiful white ones, remain the signature of the Century Plaza Hotel.

Sunstone Hotel Investors, Inc, an investment firm headquartered in San Clemente, will share ownership of the hotel with Hyatt, which will operate the facility to be renamed the Hyatt Regency Century Plaza.

The Century Plaza Hotel along with the St. Regis Hotel was purchased six years ago by the Pivotal group for a total of about $220,000,000.  Pivotal then spent another $60,000,000 on renovations for both hotels.

In 2004, Pivotal sold the St. Regis to Related Cos. for about $125,000,000, or $417,000 per room.  Related has announced plans to demolish the 300 room St. Regis and to replace it with luxury condominiums.