Monday, March 2, 2026

Tulum property owned by Colombian drug lord to become luxury hotel

A house in Tulum once owned by Colombian drug lord Pablo Escobar will soon be turned into a luxury hotel.

New York real estate investment firm Thor Equities Group expects the former cocaine kingpin’s notorious reputation to appeal to the young, hip crowd that has taken over tourism in Tulum in the last decade, a phenomenon that led New York Magazine to call it the “Williamsburg of Mexico” after the young and fashionable community in Brooklyn, New York.

The firm bought the house for $17.5 million and plans to invest around $100 million developing it into a 40-room luxury hotel with a spa and upscale shops.

Previously the site of an “eco-chic” yoga retreat resort, Casa Magna is currently unoccupied. Another property once owned by the notoriously murderous drug trafficker on the same beach, Casa Malca, has been turned into an art gallery.

Tulum’s rise to fame among the jet-setting party crowd from New York may be reaching a saturation point, but Thor expects the property and its history to succeed in a luxury tourism environment where hotels can charge as much as $2,000 a night.

“Tulum is the most stylish and now destination in all of Latin America,” said Thor chairman Joe Sitt.

The company’s luxury hotel portfolio in Mexico includes the Thompson Playa del Carmen, the Montage Los Cabos and the Ritz-Carlton in Mexico City, scheduled to open in 2020.

Source: Bloomberg (en)

CORRECTION: The previous version of this story identified Williamsburg, with which Tulum is compared, as a tourist destination in Virginia that probably has nothing in common with the Quintana Roo beach destination. A full reading of the New York Magazine story reveals that Williamsburg in this case is a community in Brooklyn. Mexico News Daily regrets the error.

Have something to say? Paid Subscribers get all access to make & read comments.
newspapers with El Mencho's face on the front page

Mexico’s week in review: The fall of El Mencho

6
Mexico's most wanted criminal is dead, his cartel is leaderless and the race to replace him has already begun — here's your guide to the week that changed Mexico's security landscape.
Mexican marines inspect a burned car in Puerto Vallarta

In the wake of another fallen cartel leader, 10 reasons why this time could be different: A perspective from our CEO

22
After the fall of a major cartel leader, conventional wisdom predicts more violence. Mexico News Daily's CEO makes the case for why this time could genuinely be different.
The Mexico City skyline with a skyscraper in the foreground

Mexico’s economic growth outlook improves as Banxico, OECD lift forecasts

1
Mexico's central bank and one of the world's leading economic organizations raised their 2026 GDP growth forecast to 1.6% and 1.4% respectively, offering cautious optimism after Mexico's sluggish 2025 performance
BETA Version - Powered by Perplexity