An option-to-lease agreement for the developer of a 450-room hotel at the east end of Harbor Drive was approved by the Board of Port Commissioners on Tuesday.
Sunroad HIE Hotel Partners' plan imagines a "12-level wing with extended stay rooms and a 15-level wing with limited service room" on the site, which would feature a walk-up restaurant and bar, a promenade adjoining the hotel and an open-space area for the public, as well as a large outdoor swimming pool, fitness center, ballrooms and outdoor private function space as well.
"With several high-performing restaurants and hotels already in the area, and proximity to the San Diego International Airport, redeveloping this and other underutilized parcels on East Harbor Island will further enhance and activate this bayfront destination," Port of San Diego board chairman Michael Zucchet said in a news release issued on Thursday.
A 66-year lease has been negotiated with Sunroad, according to the port's news release. Sunroad would have to invest at least $153 million in the project, port officials said.
Next, the port will work on finalizing a Coastal Development Permit for the project, which would need board approval, possibly submitting it and the concept approval for review by early summer, if not sooner.
An additional 48 acres in the area are being examined for redevelopment by the port as well, officials said.