Old Tahoe being turned into boutique hotel
By Kathryn Reed
From a 1-star to a 4½-star property. That is what Jim Demetriades is trying to do with a prime piece of real estate in South Lake Tahoe.
He is turning the old Royal Valhalla motel into the Landing Resort & Spa.
“What South Lake Tahoe was lacking was a 4-, 5-star establishment … a super high-end boutique hotel,” Demetriades told Lake Tahoe News.
What the Landing Resort & Spa in South Lake Tahoe will look like. Rendering/Midkiff & Associates
He bought the sprawling property 1½ years ago and began construction last fall. It is at the end of Stateline Avenue between Lakeshore Boulevard and Azure Street. Part of it is next to single-family residences along the streets of Hill Road and Sunrise Lane. Then it abuts the open space that is directly across from Lakeside Beach.
Demetriades would not disclose how much money he is putting into the renovation, but said, “It’s millions and millions of dollars.”
He said there is no way to build something like this from scratch because it would be cost-prohibitive and the regulatory hurdles insurmountable.
“We focus on properties in secondary markets that are reasonably priced, with a tremendous amount of charm and character,” Demetriades said. “We think South Lake Tahoe is a beautiful environment. But like many secondary markets it has gone through its ups and downs. It’s been in a prolonged tailspin with a lot of rundown properties. We think there is a crowd of guests who are interested in a nicer property in the area that is reasonably priced.”
He says room nights will range from $150 to $250.
This sign will soon disappear. Photo/Kathryn Reed
“It will be Ritz-Carlton quality, but half the price,” Demetriades said.
But at a Ritz, people are used to getting service that is off the charts. Demetriades wants to deliver that as well.
He said the general manager he expects to have on board has experience at high-end properties.
Demetriades has properties in Southern California, as well as a hotel and three restaurants in Mammoth.
Jimmy’s Taverna is one of the eateries. And it’s what will be cloned and opened in Tahoe. Billed as Greek seafood, is will serve three meals a day. The restaurant will be for hotel guests and anyone else. The restaurant will seat 120, while the bar will fit about 50. In the summer outdoor seating will be available.
The restaurant will be the fifth and last building to be constructed.
Of the five buildings, one is almost done, two are well under way, and No. 4 had concrete poured two weeks ago.
The sound of hammers and saws could be heard last week as workers transform the three-story property.
The Royal Valhalla had 91 rooms; the Landing Resort & Spa will have 88. Part of the hotel could open in July.
“We are not taking reservations just yet. We are working with construction teams to validate the opening date. A lot has to do with the furniture,” Demetriades said.
Part of the new hotel is expected to open in July. Photo/Kathryn Reed
Each room has a balcony, some with views of Lake Tahoe. All are within earshot of the Harveys outdoor summer concerts.
The furniture is being custom made. Waterfall showers, heated floors, heated toilet seat, and heated towel racks are standard features.
A 150-seat conference facility is being built. Weddings are expected to be a large part of the revenue stream, with the facility able to be cordoned off into three rooms or one big room for 300 guests.
A spa will also be on-site.
Partnerships with nearby Edgewood Tahoe Golf Course are being worked out. Guests will have access to Lakeside Beach. Bikes and boats will be available, as will a shuttle service.
The goal is someone flies into Reno, arrives at the Landing Resort & Spa and never has to drive.
I will miss the neon old sign. But I wish him success.
I am familiar with that place. Nice location.
Let see what happens
And when you go to enjoy this new restaurant/bar you’ll probably get to pay the city to park along Lakeside Beach which is a pubic access privately owned property.
This is EXACTLY what is missing in south lake. If you look at North Tahoe & Truckee, they have offerings for the high end consumer. And those visitors are spending their money in those communities.
South Lake Tahoe needs more of this product available to meet the market demand.
I closely watched the April 2nd City Council meeting on the City’s website and during the Public Hearing Item (b) discussion regarding the fees the City charges for City services I was fairly well shocked to learn that the City only attempts to recover 75% of the costs of fees from the users of City services and they subsidize the remaining 25% of those service users costs from the General Fund. For example, if someone goes to the City to get a building permit extension the fee amount the individual pays is $107, but the total actual cost for this City service is 25% higher, or roughly a total of $134. That means that the taxpayers who aren’t using this service are picking up the tab on approximately $27 of the costs for the person needing the building permit extension. I recall the City Council saying that people wanting the convenience of parking in certain places should be the ones to pay for that service convenience through metered parking, thus I wonder why my tax dollars are going to subsidize the costs of City services that other individuals are using. I think the City should charge the people who are actually using their services instead of the remainder of us who aren’t. With parking meters if I don’t want to pay for that service convenience I can choose to walk a little further, in the case of other City services I don’t have a choice with helping defray that 25% subsidy.
This is fantastic news. Every rundown motel that gets an upgrade and continues to operate as a motel/hotel/resort instead of a low-income apartment building is a huge win for the SLT.
I looked at some trip adviser reviews.
You have Valhalla with terrible reviews Bad Service, Stale atmosphere. But no trouble over filling the rooms with 1 time guests.
and up the street you have the Paradise Inn with a much less sophisticated building and RAVE reviews!! Run by a couple just doing what it takes to make people happy.
Shame shame shame
Be sure to do all you can to support you family run establishments.
Of course we always want to wish people well, but I think this guy is missing the mark.
This property is not on the lake with a priviate beach, it is across the street from a public beach.
Lots of others have come into our town looking to improve and upgrade, but it always fails and it fails because SLT no longer has the affluent as a audience!
Our town has turned into a dump with too many people who are in serious need of AA meetings, but that is a different conversation.
Driving up Hwy 50 is a pain for tourist, it’s slow. Hwy 80 is much faster from the Sacramento area and from Reno the north lake Tahoe area is much easier to get too.
Again, it would be nice if there was an ongoing boutique hotel that could survive at his proposed rates, but we will have to wait and see.
My predication, he will end up like all of the other independent motels, dropping his rates to grab occupancy/revenue and then there goes the service and quality because he will not be able to afford to provide the services.
If the people who run the City really gave a damn about SLT, they would have addressed the issue of that stupid giant hole the ground along Lake Tahoe Blvd and at least filled it in, turned it into a park or some other use, rather than to have an eyesore for the last 6 years.
But I’m sure TRPA wouldn’t allow it and by having the eyesore it helps with TRPA’s goal, put everyone in the City out of business and close up so TRPA can eventually demo all of the buildings and turn the area back into a wilderness area.
As someone who has visited his Mammoth Lakes property and ENJOYED two of his three restaurant, I am excited that Jim is moving into South Lake Tahoe! His product is amazing and it is just what SLT needs. I hope it encourages more property owners to reinvest in their properties. Boutique hotels are a FUN and upscale place to stay!