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General Press Releases
Renderings for a hotel at East Harbor Island
Waterfront Development

Port of San Diego Board of Port Commissioners Approves Sunroad Hotel Project for East Harbor Island

The Port of San Diego Board of Port Commissioners has granted concept approval for a 450-room hotel development by Sunroad HIE Hotel Partners, L.P. and has also authorized the issuance of a Coastal Development Permit for the project. The area for Sunroad’s development includes what is known as the Elbow Parcel, approximately 7.55 acres in the shape of an elbow at 851 Harbor Island Drive in San Diego at the northeast corner of Harbor Island Drive and East Harbor Island Drive west of Safe Harbor Sunroad Marina.

“A thriving San Diego Bay waterfront is one of our region’s biggest assets and is a benefit to San Diegans and all Californians,” said Port of San Diego Board of Port Commissioners Chairman Michael Zucchet. “One way the Port works towards maximizing our bayfront is by ensuring we tap into the land’s full potential. Sunroad’s hotel project will not only be a great addition and attraction for visitors, but it will also offer a variety of activities for locals and add to the offerings that already exist on East Harbor Island – several fantastic restaurants, unbeatable coastal access, beautiful views, and proximity to San Diego International Airport.”

“We are very excited to move forward with this project,” said President of Sunroad Holding Corp. Uri Feldman.

Sunroad’s project is anticipated to break ground in late 2023 and could open, based on the current estimated timeline, by late 2025. Sunroad’s development consists of a 450-room hotel with two yet-to-be-determined brands: a 12-level wing with extended stay rooms and a 15-level wing with limited-service rooms. Amenities open to the public would include a walk-up restaurant and bar area accessible via the sidewalk on Harbor Island Drive, designated public parking spaces, a 15-foot-wide waterfront promenade, and temporary and permanent mini destinations to draw people to and through the hotel and amenities by creating various activating uses, such as artwork, benches, mobile carts for retail/specialty items and/or food and game/exercise spots. Amenities for hotel guests include an outdoor swimming pool with a jacuzzi spa and outdoor private function space, a fitness center, retail shops, and meeting rooms and ballrooms.

The Port Board selected Sunroad to develop the Elbow Parcel in September 2016. In April 2021, the Board granted Sunroad an Option to Lease Agreement (Option) for a 66-year lease, which requires Sunroad to invest a minimum of $153 million into the hotel project. The Option includes conditions precedent that Sunroad is required to meet within a specific timeline prior to exercising the Option and executing the Lease.

About THE Port of San Diego

The Port of San Diego serves the people of California as a specially created district, balancing multiple uses on 34 miles along San Diego Bay spanning five cities. Collecting no tax dollars, the Port manages a diverse portfolio to generate revenues that support vital public services and amenities.

The Port champions Maritime, Waterfront Development, Public Safety, Experiences and Environment, all focused on enriching the relationship people and businesses have with our dynamic waterfront. From cargo and cruise terminals to hotels and restaurants, from marinas to museums, from 22 public parks to countless events, the Port contributes to the region’s prosperity and remarkable way of life on a daily basis.

About Port of San Diego Waterfront Development

Port of San Diego Waterfront Development contributes to the continuous prosperity of the local economy.

From Real Estate to Aquaculture and Blue Tech, the Port invests in major redevelopment and community infrastructure, so businesses in our region have the opportunity to stay competitive in the global marketplace.