Overview:
The Port of San Diego will conduct an environmental review for proposed Loews renovation.
The renovation includes modernizing the resort and improving public access to the property.
Loews Coronado Bay Resort could get its first major renovation in three decades if a proposal submitted by the hotel company wins approval from the Port of San Diego. And that proposal includes plans for connecting the resort – situated on peninsula by the Coronado Cays – with the rest of the island.
On Dec. 10, the Port of San Diego received a presentation from the Loews Hotels & Co team calling for $220 million in improvements sweeping across the property.
Frank Urtasun, the Board of Port Commissioners chairman, said development of the $1.3 billion Gaylord Pacific Hotel & Convention Center in Chula Vista has “really upped the game for everybody, including Loews.”
The Loews project includes updating guest rooms and amenities, enhancing the landscaping and outdoor recreation areas and transforming a temporary event tent structure into a permanent event space. Public access improvements include a new pedestrian promenade along the bayfront shoreline, circling the property with views toward downtown San Diego and the Chula Vista Bayfront. The goal is to tap into the walkability of Coronado.
“It’s going to be much more inviting for the public to be able to access it,” Urtasun said.
The Port of San Diego voted unanimously in favor of moving forward with an environmental review. This does not mean the resort has approval to begin the project; rather, it’s one of the first steps to ensure the planning is following all environmental protocols outlined in the California Environmental Quality Act (CEQA). Once that review is completed, the project will come back to the Port of San Diego commissioners for a vote.
Urtasun said an environmental review typically takes a year and a half to two years, but the timelines can vary. Loews will begin a pre-application process with the Port of San Diego and then will submit a project application. Once the project application is deemed complete and a detailed project description has been developed, the CEQA and coastal analysis can begin.
Other steps will include presenting the proposed project to the Port of San Diego’s Accessibility Advisory Committee for review.
The impact in Coronado
Warwick Wicksman, design manager for the renovation project, said the new promenade defies the fenced-off exclusivity typically associated with resorts.
“Resilience, sustainability and purpose are really important for the work that we do,” Wicksman added. “And we’re looking for stuff that gives back to the community. I think that’s a really exciting thing about this project.”
Wicksman said the new goal for resorts like Loews is to tap into the city’s pre-existing community engagement, where they hope the community will see the resort as a local asset.
“Developers are realizing that there’s a benefit to that,” he explained. “They don’t want you thinking you’re going to a hotel restaurant for a meal or for a drink. They want you to feel like you’re going to the local restaurant or the local bar.”
The project goals and next steps
The president and CEO of Loews Hotels & Co, Alex Tisch, said the project represents a milestone in Loews Coronado history.
“After more than three decades of being part of the greater San Diego hotel skyline, we are excited to work with the port in negotiating, and hopefully implementing a comprehensive plan to transform the experience,” Tisch said in a press release. “Our plan is to create a best-in-class resort product for residents, guests, corporate groups and our team members…”
Wicksman said the ideation and planning period has been exciting but also brings challenges.
While the project undergoes an environmental review, Port staff will work concurrently to negotiate associated lease terms with Loews for future consideration by the Board.
Loews now pays only 5% of gross spa revenues as rent, which amounted to $70,579 last fiscal year. With the proposed significant investment in the property, Loews has requested a lease extension. The current lease runs through 2034. Port officials have indicated they intend to negotiate a new lease with adjusted fees.
