Old, shuttered Point Loma hotel sells for $17.4M

A 1970s hotel near Liberty Station that fell on hard times has sold for $17.4 million to make way for new housing.

The 110-room Consulate Hotel, built in 1971, was purchased by Encinitas-based Ambient Communities, which said it plans to turn it into market-rate and student housing.

The hotel, at 2901 Nimitz Blvd., closed in 2019. It was eyed by San Diego officials in 2020 for possible purchase to house homeless people.

Before it shuttered, the hotel regularly received scathing Yelp reviews with users uploading pictures of broken toilet seats, outdated fixtures and allegations of bug infestations.

Ambient Communities said the 63,234-square-foot building has entitlements in place that facilitate an easy transition for rehabbing the structure. It did not provide a timeline for when construction could be completed.

The Consulate comes with 48 parking spaces, space for meetings, an on-site bar, a restaurant and a pool. Its previous owner was a La Jolla-based family trust called Nobel Legacy LLC.

A broker representing the seller, Al Apuzzo of Lee & Associates, said the hotel was designed in the late 1960s and was mainly aimed at the Navy community serving in the area. He said the six-story structure makes it the tallest building in the greater Point Loma area.

“This property represents a prime opportunity for much-needed student and market-rate housing in San Diego,” Apuzzo said. “We are excited to see Ambient Communities bring new life to the site.”

There have been a lot of names for the hotel over the years: It was known as the Quality Inn in the early 2000s, and Loma Portal Inn and Rodeway Inn of America in the 1980s.

The hotel also served as a music venue over the years with different names for the space, including Jason’s Nightclub and the Cabrillo Dinner Theatre.

An advertisement for a show at the space in 2001 that ran in The San Diego Union-Tribune called “Heaven Rocks” said it featured performers in heaven, including Judy Garland, John Belushi, Patsy Cline and Jim Morrison.