Moguls lose out on inns
It’s been a rough year for tri-county luxury hotels and the moguls who may or may not still love to own them.
In Ventura County, real estate tycoon David Murdock racked up an estimated $78 million in losses operating the Four Seasons Westlake Village, a posh resort for executives. The losses were so steep Murdock had to ask the public equity markets to pay off a share of the tab when his company, Dole Food Co., offered shares in October.
In Santa Barbara County, Beanie Baby billionaire Ty Warner has watched cash flows from his resorts — which include The Biltmore and the San Ysidro Ranch in Montecito — miss analyst expectations by almost half. Warner, whose $425 million in loans backed by four of his hotels mature in January, faces a downgrade on his debt rating.