Carlsbad's Four Seasons Aviara - Will They Stay or Will They Go?

It's an ugly question to have to ask, but a very real one.

The Four Seasons Aviara Resort has been a mainstay of South Carlsbad's Aviara area for more than 10 years (they signed a 30-year contract in 1995 with several 20-year optional continuations). That is until the owners of the resort that the Four Seasons Hotels and Resorts manages got their britches in a bunch.

The owners are alleging financial mismanagement by the Four Seasons and running the resort in a less-than-cost-effective manner (my words). Seems the alleged issues surround the 2009 operating budget and recent refinancing by the owners resulting in increased debt (a challenge in these economic times), who now want to bring in Dolce Hotels and Resorts as new managers of the resort.

The Four Seasons states that the increased debt by the owners is "making it impossible for the resort to service this amount of debt in the current economic downturn" according to a recent article by Penni Crabtree in the San Diego Union Tribune. Here's a press release from the Four Seasons on May 13.

The parties were in federal court May 11, then started oral arguments in late May. Arbitration proceedings began on May 29 according to the North County Times, and the hearing was continued until the week of June 15. I haven't seen any updates on where things stand now.

I'm not familiar with Dolce Hotels and Resorts and have no idea if they can run the caliber of resort that so many are accustomed to, and gravitate towards, at the Four Seasons hotels. Some folks want, and are willing to pay for the Four Seasons experience, which garners them high rankings in polls by Conde Naste and others year after year. I have my own personal reasons for wanting the Four Seasons to remain. Nuff said.

Stay tuned - the battle is not yet over.

READ MORE:

Carlsbad Village by the Sea

Avaira - A Beautifu Resort Residential Area in South Carlsbad

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All content copyright © 2009 Jeff Dowler Carlsbad Homes and Real Estate Tidbits