Main Street Motel in San Diego Sells After More Than 40 Years of Family Ownership

NewGen Advisory is pleased to announce the sale of the Main Street Motel, a former 27-room motel located at 3494 Main Street in San Diego, California.

The transaction was led by NewGen Advisory Senior Vice Presidents Jigar “Jay” Desai and Kishan Gohel, with NewGen representing both the buyer and seller in the transaction. The property had been under the same ownership for more than 40 years, with the seller raising a family there and maintaining a deeply personal connection to the asset over several decades.

At the time of sale, the motel was closed and positioned for renovation. The two-story property sits on approximately 0.51 acres and includes 27 former guest rooms, exterior corridor access and surface parking. The site also benefits from IH-1-1 zoning and is located within a federal Opportunity Zone.

One of the key elements of the opportunity was the work already completed prior to the sale. Asbestos abatement and demolition had been completed and approved through city inspection, creating a more direct path for the buyer to begin renovation.

The new owner plans to renovate the property and reopen it as a hotel, continuing the site’s hospitality use while repositioning the asset for its next chapter.

The property’s location also played an important role in the investment story. Main Street Motel offers access to Interstate 5, public transit, downtown San Diego and San Diego International Airport, and is located approximately 1.7 miles from Naval Base San Diego.

Despite limited to no marketing exposure, NewGen generated numerous offers for the property, creating a competitive process around the asset. The transaction ultimately moved forward with all-cash terms, an aggressive structure and a quick close, with the deal closing in under 30 days.

That level of response demonstrated the strength of the underlying real estate opportunity and the demand for well-located value-add hospitality assets in the San Diego market.