Property Tours Do not contact on-site staff. All property tours must be scheduled through the listing agent. Prospective purchasers are encouraged to visit the subject property prior to submitting offers. Marcus & Millichap has been chosen to exclusively market for sale the Hermosa Hotel and Cottages, located in the charming town of Avalon on Catalina Island. This offering provides a rare opportunity for buyers to acquire a well-established hotel with upside potential through redevelopment into an upscale boutique hotel, luxury condominiums, or multifamily apartment rentals. Our comprehensive analysis outlines several acquisition scenarios, showcasing the cash flow potential of various redevelopment options. Currently operating as a boutique hotel and apartment rentals, the property features 72 units spread across multiple buildings, including hotel rooms, ocean-view suites, cottage style apartments. The Hermosa Hotel also benefits from additional income generated by an on-site retail space, further enhancing its investment appeal. With sweeping island and beach views, this is an unparalleled opportunity to capitalize on a premium location and create a unique, high-end development on Catalina Island.