San Francisco loses two largest hotels

by ian

Businesses continue to flee San Francisco. The city just lost two of its largest hotels due to high crime rates.

Park Hotels & Resorts announced on Monday they were closing the Hilton San Francisco Union Square and the Parc 55 San Francisco hotels. Together, that’s a loss of almost 3,000 rooms.

CEO Thomas J. Baltimore Jr. says he believes the city’s “path to recovery remains clouded and elongated by major challenges.”

The hotels cited safety and security concerns as well as empty office buildings. Around 30% of San Francisco’s office spaces are currently empty.

Park Hotels the latest company to leave the city during an uptick in retail theft, homelessness, and drug abuse. The company will default on a $725 million loan, but expects to save $200 million in maintenance over the next five years.

Meanwhile, Old Navy recently announced that they will close their downtown San Francisco store on July 1. Nordstrom is also closing two stores.