Coast boutique hotel in Rehoboth holds a grand opening


Coast Rehoboth Beach, Tapestry Collection by Hilton, a 60-room hotel, has officially opened its doors to guests and the community. The hotel is two blocks from the Atlantic Ocean at the former site of the Sandcastle Hotel.

The hotel features on-site dining, a rooftop-indoor pool, an outdoor patio with a fire pit, a 24-hour fitness center, golf cart transportation to and from the beach, on-site activities, and access to bike rentals.

The hotel also features a new restaurant, Sirocco, which showcases southern European cuisine with local ingredients.

Harvey Hanna photo.

The property is owned by Harvey Hanna & Associates and operated by TKo Hospitality Management, both based in Newport. Coast is the fourth hotel property collaboration between the two companies and the third joint grand opening in the last 18 months.

NorthStar Construction (Allentown, PA.) served as the general contractor and interior designer. Project financing was made available by First Citizens Community Bank and Greenworks Lending.


“We are excited to expand our hotel portfolio throughout the coastal Sussex region with the addition of another world-renowned hotel product, Tapestry Collection by Hilton,” stated Thomas J. Hanna, president of Harvey, Hanna & Associates. “The Coast property is a shining example of Rehoboth Beach tradition blended with a contemporary style making it one of the most unique hotel properties in the marketplace.”

Coast replaced the Sandpiper Hotel. Harvey Hanna photo.

The newer Hilton brand aims at customers seeking out smaller “boutique” hotels that “tell a story” and provide a unique experience. Rates at Coast can run $600 a night on the weekend, dropping into the $150 range in November.

Tapestry Collection is one of more than a dozen Hilton brands. There are about 100 Tapestry locations in 13 countries.

Hilton’s offerings range from high-end hotels like the Waldorf Astoria to the mid-range Hampton Inn, best known for breakfasts that are included with each stay.

The hotel reflects a hotel mini-boom in Coastal Sussex. Developers are attracted to more of a year-round economy and the ability to command higher rates during the peak season.

Occupancy rates have declined slightly as new properties come online. However, no discounting has been reported during the peak season.