Page 32 - Ty Warner Case Study

ocean for an undisclosed amount of money. The resort at one point was a citrus
ranch. The purchase of the hotel resort exceeded $100 million.

Earlier in the year, Ty tried to purchase the Montecito Country Club and El
Encanto Hotel, but his offers were declined.

The San Ysidro Ranch has a legendary romantic and historical heritage that
spans over 110 years. From its origins in 1769 as a way station for Franciscan
monks, to its days as a citrus ranch, and finally as a guest ranch beginning in
1893, the San Ysidro Ranch is a rich part of California’s history.

The name San Ysidro (Spanish for Saint Isadore) honors the patron saint of
Madrid who according to legend, was such a kind and caring shepherd that the
Lord sent a guardian angel to watch over his flock while he tended to the sick
and needy. It is his example of selfless service that is the guiding principle
employed everyday at the Ranch.

In 1825, an adobe ranch house was constructed by Thomas Oliviera, the son of
a Presidio soldier, and remains today as one of the most unique private dining
rooms on the West Coast. The "Old Adobe," as it is known today, is a
California Historical Landmark (#18).

Before its opening as a 40-person hotel in 1893, the Ranch was a working citrus
Ranch, shipping its produce throughout California. Today, the beautiful
sandstone building which houses the world class Stonehouse Restaurant and
Plow & Angel Bistro, rests on the site of the original citrus packing house.

In the 1930's, Hollywood actor Ronald Colman & hotelier and former Senator
Alvin Carl Weingand purchased the Ranch. Under the management of these two
men, the Ranch soon became known as the haven to celebrities. Famed for its
personalized service and vigilant respect for the privacy of its guests, the Ranch
has been the luxury hideaway for discriminating guests.

Vivien Leigh and Laurence Olivier got married here in 1940 (there's a
newspaper clipping in the lobby to prove it). Jack and Jackie stopped by during
their long honeymoon in 1953 (there are photos to document that, too). Stars
such as Gloria Swanson, Bing Crosby, Jean Harlow, Audrey Hepburn, Fred
Astaire and Groucho Marx holed up here when the Hollywood heat got too hot.
Somerset Maugham, Sinclair Lewis and Aldous Huxley all wrote in its
bougainvillea-covered cottages. This is even where John Huston allegedly put
the final touches on his legendary African Queen.