CASE STUDY - TOWER23
Cue Vacation Vibes
Project Overview
Eat.Drink.Sleep. developed a 1,986 sq. ft. lot into a stylish 44-room beachfront hotel with a 10,000 sq. ft. restaurant in San Diego’s beach community of Pacific Beach. Neo-modernist in approach, the property opened to accolades, such as a top spot on Conde Nast’s “Hot List”. Today, the property is San Diego’s #1 rated hotel on TripAdvisor.
Today, Tower23 is San Diego’s #1 rated hotel on TripAdvisor.
The Challenge
Over 9 years, EDS invested $14 million to develop Tower23, a three-story, 45,000 sq. ft. luxury hotel. With its enviable location perched above Pacific Beach, the project required California Coastal Commission staff approval.
The Approach
A distinct design perspective creates a cool haven for guests and locals alike at Tower23. The hotel features 44 guestrooms and suites, a bold and linear design that celebrates the area’s natural elements and sweeping ocean views.
Channeling the team’s deep F&B experience, the hotel’s signature restaurant, JRDN, offers buzzworthy dining that is at the heart of guests’ social experience and drives visitation.
Results
2005 Construction Cost
$14 Million
2023 Value
$48.7 Million*
Annual OTA Contribution > 10%
$8.5 Million annually in F&B Revenue
*5% Capitalization Rate
Services
Development
Construction Management
Hotel Operations
Marketing
F&B
Tech Stack
Market
Known for an idyllic climate, pristine beaches and a dazzling array of family attractions, San Diego enjoys year-round tourism.
Tower23 achieved a RevPar of $326 in 2022, outperforming its comp set by $50 and the San Diego market by $157.
Tower23’s signature restaurant, JRDN, is a repeated winner of California Restaurant Association’s “Best Hotel Dining” award.
