Beverly Hills’ Luxe Rodeo Drive shuts down in first of many hotel closures predicted by experts

Local news
The Luxe Rodeo Drive hotel in Beverly Hills, Calif. appears in an undated image. (Google Maps)

The Luxe Rodeo Drive hotel in Beverly Hills, Calif. appears in an undated image. (Google Maps)

Located on one of the world’s most expensive strips of commercial real estate, the upscale Luxe Rodeo Drive hotel has closed, a casualty of a pandemic that is likely to put more hotels out of business.

The 86-room hotel, which for 27 years shared a city block with such high-end outlets as Cartier and Harry Winston, notified its workers last week that it would permanently cease operations because of the financial effects of the COVID-19 crisis.

“Please accept my sincerest gratitude for your service and loyalty and know that this decision was not made lightly,” Efrem Harkham, the chief executive of Luxe Hotels, which owns or operates three other hotels in Los Angeles and New York, told workers in a letter.

The Luxe Rodeo Drive is the first high-end hotel in the Los Angeles area to go out of business because of the pandemic, and industry experts point to an unusually high loan delinquency rate among hotel borrowers as a sign that more closures are likely to follow.

Read the full story at LATimes.com.

KTLA Election Guide

More election coverage

Most Popular

Latest News

More News

KTLA on Instagram

Instagram

KTLA on Facebook

KTLA on Twitter