PALM SPRINGS, CALIF. — Palisades Hospitality Group (PHG) has purchased the 57-room Colony Palms Hotel in Palm Springs for $24 million. The hotel is located at 572 North Indian Canyon Drive.
Colony Palms is situated just one block off the city’s main downtown strip. It was built in the 1930s. Amenities include a full-service spa and the Purple Palm restaurant and bar.
PHG plans to upgrade and enhance the property over the next several months. It will also create 1,200 square feet of meeting space for small groups and events that can accommodate up to 50 people.
The hotel has a colored past, as it was allegedly once owned by mobster Al Westheimer. At the time, it featured a casino, speakeasy and brothel that attracted famous Hollywood guests like Clark Gable, Carole Lombard and Humphrey Bogart. The hotel was purchased in the 1940s by Robert and Amanda Leeds-Howard, the owners of famed racehorse Seabiscuit.
It underwent a substantial $17 million renovation in 2008. That renovation was overseen by Martyn Bullard-Lawrence, who was named one of Architectural Digest’s top 100 interior designers. He is also known for his role on Bravo’s “Million Dollar Designers.”
PHG will operate the Colony Palms under its hotel subsidiary, a group of hotels that emphasize an authentic and local experience. Other hotels in this collection include the El Dorado Hotel & Kitchen in Sonoma, Calif., and the North Block Hotel in nearby Yountville.