Beverly Hills voters reject LVMH luxury hotel on Rodeo Drive

Voters in Beverly Hills, the epitome of wealth and luxury, have narrowly rejected a proposal by Bernard Arnault’s LVMH to build an ultra-exclusive hotel on Rodeo Drive.

The surprising result late on Friday was a setback for Arnault, the world’s richest person, who had chosen Beverly Hills as the first US location for his luxury hotel group. LVMH, which recently became the first European company to reach a $500bn market valuation, splashed out nearly $2.9mn on its campaign to gain approval in the ballot.

The Cheval Blanc hotel proposal was approved by city officials last year. However it ran into opposition by a powerful union that represented 32,000 hotel and other hospitality workers in southern California. The group gathered enough signatures to trigger a referendum election to decide whether the project should go ahead.

The union argued that the development agreement did not set aside provisions for affordable housing in Beverly Hills, where few hotels or domestic workers could afford to live. Beverly Hills, an independent city of about 32,000 people in LA county, has a median household income of more than $100,000.

Opposition also came from a group of residents who criticized the scale of the planned hotel, saying it would tower over neighboring buildings and worsen traffic congestion.

“We oppose the monolithic Cheval Blanc Hotel project because it is just too big and tall for our village,” said leaflets distributed by Residents Against Overdevelopment, which said its mission was to “preserve the quality of life in Beverly Hills”.

LVMH argued that the hotel development would generate about $780mn over the next 30 years in tax revenues for Beverly Hills. As part of the deal, the company also agreed to contribute $26mn to the city’s budget and another $2mn earmarked for arts and culture.

“I’m devastated,” said Andy Licht, who oversaw the approval of the Cheval Blanc project as chair of the Beverly Hills planning commission. “It’s a terrible decision.”

A few votes remained to be counted, but the group backed by LVMH to campaign for approval acknowledged late on Friday that it was unlikely to pass.

“If the final vote count confirms the voters’ rejection of our project, we will respect the outcome, and will not bring the hotel project back in any form,” said a statement released by the group, the Yes on B&C Campaign, so named for the letters on the ballot proposal.

Designed by the New York architect Peter Marino, who also oversaw LVMH’s lavish refurbishment of jeweler Tiffany & Co’s flagship store in New York, the Beverly Hills Cheval Blanc represented the group’s latest expansion into the luxury hospitality industry. Plans for the 115-room hotel include space for a 500-member private club, along with high-end restaurants and retail shops.

LVMH is expected to retain ownership of the property and has the option to develop it for other uses, including retail or office space.

Still, it denies the company a chance to capitalize on the growing appetite for high-end hospitality and experiences with a project in Beverly Hills. LVMH and its rivals have poured money into the hospitality sector in recent years, and analysts expect it will be one of the fastest-growing areas in luxury in the coming years.

In 2022, the luxury hospitality market more than doubled in value year-on-year to €191bn despite remaining below its pre-pandemic peak, according to consultancy Bain.

Arnault established the first of the Cheval Blanc hotels in the ski resort of Courchevel in 2006. The high-end chain has now grown to include locations from Paris to the Maldives. In 2018, the group announced it had bought hospitality group Belmond for $3.2bn, which came with a luxury travel portfolio ranging from high-end hotels to the Orient Express train service.

The deal bolstered LVMH’s hospitality portfolio that already included Cheval Blanc and Bulgari Hotels and Resorts. The segment that includes LVMH’s hospitality businesses accounted for only a small proportion of the group’s record €79bn in revenues last year, but after taking a hit during lockdowns it has rebounded strongly since the pandemic.

Leave a Reply

Your email address will not be published. Required fields are marked *

slot online togel deposit dana ladang toto slot thailand slot mahjong nolimit city ladangtoto link slot gacor server thailand ladangtoto android4d sbobet link slot gacor thailand ladangtoto slot thailand super gacor slot thailand slot gacor thailand gacor88 slot gacor slot zeus slot thailand slot server thailand ladangtoto slot thailand link slot thailand link server thailand situs slot server thailand login ladangtoto ladangtoto terbaru slot pg soft mahjong ways login gacor88 slot gacor ladangtoto situs slot thailand gacor88 link alternatif slot gacor gacor88 cara login daftar ladangtoto link mahjong ways slot gacor thailand zeus gacor sbobet sv388 login ladangtoto login gacor88 mahjong ways link alternatif bir365 bir365 login login cpo333 ladangtoto ladangtoto link alternatif ladangtoto klikslot88 situs togel 4d ying77 login bir365 topstar999 slot link server thailand ladangtoto shop slot server thailand link alternatif ladangtoto togel bsi agen bola88 situs toto situs sv388 slot thailand bandar sbobet rtp one8slot slot thailand super gacor akun slot thailand slot bsi slot gacor ladangtoto slot gacor thailand link slot gacor akun pro kamboja link slot deposit dana one8slot mas77toto slot thailand mudah maxwin fun77toto link fun77toto pg soft slot mahjong ways slot thailand gacor maxwin terbaik slot idn starlight princes #1 slot gacor thailand terbaru bo ladangtoto ladangtoto resmi link alternatif ladangtoto 2 ladangtoto login slot server thailand maxwin 66kbet gacor hari ini daftar dewaslot ladangtoto slot mahjong ways 2 gacor slot thailand asli daftar ladangtoto slot idn gacor rtp ladangtoto 66kbet link tergacor situs slot4d slot77 login games online easy win ladangtoto daftar link ladangtoto link alternatif akses ladangtoto ladangtoto login resmi ladangtoto2 ladangtoto resmi gacor situs bandar ladangtoto ladangtoto2 terbaru 66kbet starlight princess login ladangtoto resmi fun77toto slot terbaik Situs Togel Hadiah Terbesarr bandar togel ladangtoto 66kbet 66kone ladangtoto ladangtoto togel wla Mahjong ways jackpot Gates Of Olympus 5000 Situs Judi Sv388 Fun77toto Bandar Togel Ladangtoto Daftar Fun77toto Live Casino Dewaslot Link Gacor idn slot 5000 gacor88 slot-thailand 15 slot777 gacor slot mahjong ways terbaik slot777 zeus olympus gacor sekali ladangtoto terbaik 2023 domino365 terbaik 2023 ladangtoto rtp maxwin ying77 gacor 66kbet Fun77toto Rtp Gacor 66KBET Link Gacor Ying77 Akun Pro Ladangtoto Hadiah 10 Juta situs gacor88 server thailand terbaik 2023 slot gacor mahjong pg soft slot gacor thailand gampang menang Ying77 Server Luar 66KBET Rtp Zeus Fun77toto Starlight Princess Ladangtoto Sensational Ladangtoto Online Ying77 rtp gacor 66kbet Server Thailand Fun77toto Game Ladangtoto Terbesar Ying77 Gampang Jackpot 66kbet Anti Rungkad Fun77toto Resmi Ladangtoto Terbaru Ying77 Thailand Gacor link slot gacor server thailand 66kbet Link Starlight Fun77toto Togel Sgp Fun77toto Terpercaya slot77 gampang menang 2023 akun pro kamboja slot 2023 slot777 Fun77 togel Situs Gudangtoto Slot Mahjong Ways super Slot rtp akurat thailand Link Zeus Gacor slot thailand terbaru Rtp Ying77 Ladang Toto Togel Fun77 Bet 66KBET Maxwin Ying77 Slot Zeus Ying77 Anti Rungkad GB777 slot thailand ying77 akun pro link alternatif ok88slot ok88slot situs joker123 link ok88slot mahjong ways ok88slot link Starlight Princess X1000 ok88slot situs betting sbobet online Slot Thailand Paling Gacor Link Alternatif Ying77 66KBET Gampang Menang Slot Nolimit City Slot Zeus Maxwin x500 Daftar Sv388 Fun77 Terbaru slot mahjong tancap RajaJp Official Fun77toto Terbaru Fox77 Terlengkap Wajikslot Jp Slot Thailand Link Ladangtoto Withdraw Togel Ying77 Menang Maxwin Fun77 Link Togel Fox77 Slot Mahjong Link Pg Slot Zeus Petir x500 Bocoran Slot Nolimit Sabung Ayam Online Agen Wajikslot Link Gacor88 Slot Ying77 Daftar Ladangtoto 2 Bandar 66KBET Agen Joker123 Official PGSlot Resmi raja88jp resmi link slot gacor ok88 888slot maxwin dewaslot gacor slot777 situs slot gacor server thailand slot zeus petir judi slot 66kbet slot ying77 asia ladangtoto bandar togel 888slot resmi maxwin fun77toto deposit bca fox77slot bet 200 perak slot link thailand sabung ayam sv388 slot situs ovo gudangtoto live hk link gacor bca slot gopay receh slot dana demo fun77 slot gacor akun pro thailand joker gaming