Developers in Wildwood Crest will combine and renovate two decades-old motels to create a new resort in Cape May County next year.
Madison Resorts recently announced the $13.4 million purchase of the Royal Hawaiian Motel, which will be paired with the neighboring Oceanview Motel to create a resort with more than 200 rooms. Madison Resorts bought the Oceanview Motel for $10 million in 2022, sparing the unique property from demolition after it had closed the year before.
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"Our plans are to have both properties up and running for (summer 2024)!" Madison Resorts said. "We’re so happy to be expanding the Madison Resorts brand as we continue our commitment to preserving the iconic doo-wop legacy in Wildwood Crest."
The combined hotels will operate under the name Madison Resort Wildwood Crest, with the Royal Hawaiian renamed the Beach Tower. Together, they'll have two pools, three restaurants, two fitness centers and rooftop event spaces.
Both motels are surviving examples of the 1960s-era architecture that came to be a hallmark of Wildwood Crest, whose buildings were inspired by the vibrant aesthetics of Las Vegas and Miami. Similar properties have been torn down in recent decades, putting the Jersey Shore's town's historic charm in jeopardy.
The Royal Hawaiian was built in 1969 and had long been run by owner Lester Klayman, who expressed gratitude to his guests over the years in announcing the decision to sell the property.
"The Royal Hawaiian Motel has been more than just a business," Klayman said on Facebook. "It has been a home away from home for many of you, a place where memories were created and friendships flourished."
A $7 million renovation project is now underway to update about 88 rooms in the hotel, as well as the pool and deck areas.
The Oceanview Motel, built in 1963 as the Admiral Hotel, has about 108 rooms. Madison Resorts had originally planned to complete renovations at the property to reopen it last summer, but reassessed that timeline after exploring the purchase of the Royal Hawaiian. Both hotels are located off Beach Avenue, separated from one another by East Orchid Road.
Madison Resorts also owns Cape May's Montreal Beach Resort and the Victorian Madison House, which includes Harry's Ocean Bar & Grille.