July 31, 2020
The owner of Los Angeles’ Chateau Marmont plans to convert the 91-year-old hotel into a private residential club. If André Balazs Properties’ plan to charge annual dues from a select circle of members goes well at the West Hollywood property, it could serve as a model in other global markets.
The concept is aimed at attracting people who may feel more comfortable with a club type of environment in the COVID-19 era. Balazs envisions his clientele will be willing to pay a premium to share space with those who share similar views and have been pre-vetted.
The timeshare style arrangement would be an alternative to owning multiple residences in several markets. Members will own equity in a global real estate portfolio, which could be sold should they elect to opt out.
Since opening after coronavirus restrictions were lifted, Balazs says Chateau Marmont has been operating on a semi-private basis already. Guests called the property at 8221 Sunset Blvd. directly to book rooms. And the trend has been towards fewer guests who elect longer-term stays.
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*Photo courtesy Chateau Marmont Instagram