Monday, August 18, 2008
The AALS has decided to keep its annual meeting in San Diego, but it won't hold any events at the Manchester Grand Hyatt. Instead, it will hold all AALS events at the San Diego Marriott. Some people have noticed that Papa Doug Manchester was the developer of that property, and that his CV lists the San Diego Marriott as one of the properties on which he is a "developer or owner."
He did develop it. But does he still own it?
The San Diego Union-Tribune reported on April 25, 2008 that he sold all of his remaining interest in the hotel, in a stock deal with Host Hotels & Resorts, which is now the 100 percent owner of the property. Here's an excerpt from the story in San Diego Union-Tribune:
Host Hotels & Resorts, which now owns 100 percent of the 1,362-room
downtown hotel next to the Convention Center, issued 5.575 million
partnership units to Pacific Gateway -- a Manchester entity -- last
month. In return, Pacific Gateway gave up its roughly 10 percent
ownership in the hotel. It also forfeited the rights to 1.7 percent of
the hotel's revenue.
, , ,
In an interview this week, Manchester said he has been systematically
reducing his equity stake in the Marriott property for Host partnership
units. At one point he owned 25 percent of the project, he said.
. . .
According to SEC filings, Manchester and affiliates have retained
ownership of the bulk of the Host partnership units they've acquired
over the years. In total, they own units that can be converted to about
13 million shares, or about a 2 percent stake in Host Hotels. . . .
The title of the article is Manchester sells stake in Marriott; Downtown hotel now 100% owned by Host.
So it seems that Doug Manchester sold his interest in the hotel, but he is still a shareholder in a company that owns units that might be converted into shares amounting to a 2 percent stake in Host Hotels. For me, having part of a possible 2 percent ownership of company that owns the hotel as one of its properties is a somewhat remote connection to the cash donation. It is certainly nothing when compared directly to the other property, which has his name on it (the Manchester Grand Hyatt).
I will obviously be thinking more about this, and I welcome your comments (as, I'm sure, do others). Please post your comments below if you have any additional insights on the matter. For me, the main message should be this: AALS has taken a stand that it will not support organizations that discriminate based on sexual orientation. Discrimination is bad business. Period. Bravo, AALS.
(Hat tips to the research skills of Ralph Brill and Miriam Ann Murphy)