History of the Cabo hotels: Palmilla, Finisterra, Solmar and the resort boom

The first hotel in Cabo San Lucas was Hotel Hacienda, opened in 1963 where the marina now meets Médano Beach; when the town's future hotelier Luis Bulnes arrived in 1954, there were none. Out on the corridor, Palmilla had opened in 1957 with 15 rooms that could be reached only by private plane or yacht. Hotel Finisterra came in 1971, Hotel Solmar in 1974, and the big wave of resorts arrived after 2000.

The dates below come from the hotels' own pages, their press releases and the sources listed on each of our hotel pages, and the main ones are linked in the text. If we could not confirm a date, we left it out. For the town's history before the hotels, read our history of Cabo San Lucas.

Timeline of Cabo hotels at a glance

Before the marina: Palmilla and the fly-in years

The story starts with Abelardo Rodríguez, known as Rod, son of General Abelardo L. Rodríguez, a former president of Mexico. Forbes México dates the idea of Palmilla to 1956. According to Discover Baja, Rod and his wife, the Hollywood actress Lucille Bremer, opened the 15-room hotel in 1957. The two had already opened Rancho Las Cruces together in 1948.

There was no paved road down the peninsula yet. Guests arrived by private plane or by yacht, and the early register included John Wayne, Lucille Ball, Desi Arnaz, Bing Crosby and President Dwight Eisenhower.

Palmilla later joined One&Only, the luxury brand of Kerzner International, with renovations in 2004 and 2008. Today One&Only Palmilla has 174 rooms on 55 acres and Forbes Travel Guide rates it Five-Star. Its rooms come with binoculars for whale watching.

1963: Hotel Hacienda, the first in town

Rod also built the Hotel Hacienda in Cabo San Lucas in 1963, at the junction of what is now the marina and Playa El Médano. It was the town's first hotel. When Luis Bulnes Molleda arrived from Ribadesella, Spain, in 1954 to run the tuna cannery, Cabo San Lucas had about 400 people and no hotels, according to Mexico News Daily.

1971 to 1974: Finisterra, the marina and Solmar

Hotel Finisterra opened near Land's End in 1971. Three partners built it: Luis Cóppola Bonillas, Luis Bulnes and Raúl Aréchiga. Bulnes later sold his shares to build his own hotel.

Two things changed the town in 1973: the Transpeninsular Highway was finished and dredging of the Cabo San Lucas marina began. Bulnes had started building in 1972, and Hotel Solmar opened in 1974 with 20 rooms and two suites, even closer to Land's End than the Finisterra. That was also the year Baja California Sur became a state.

Bulnes once owned the largest sportfishing fleet in Cabo San Lucas and in 1993 set up a foundation to protect billfish. His statue stands on the marina boardwalk.

Both hotels still operate. Finisterra joined Sandos Hotels & Resorts in October 2012 and is now Sandos Finisterra, 272 rooms built into the cliff, some hanging out from the rock face. Hotel Solmar is now Solmar Resort, with 104 rooms, and the Solmar group counts about 1,800 rooms. In 2024 the group marked 50 years since the Solmar opened.

1977: Twin Dolphin, the first luxury hotel on Santa María Bay

On Santa María Bay, the Hotel Twin Dolphin opened in 1977 with 50 rooms, one of the few luxury hotels in Los Cabos at the time. It closed in 2006 and its buildings were demolished, as Elite Traveler tells it. In spring 2018 Montage Los Cabos opened on the same bay, the first Montage outside the United States.

The 1990s: Pueblo Bonito, the Westin and Las Ventanas

Pueblo Bonito, a family-owned Mexican company that began with one hotel in Mazatlán in 1987, opened its first Los Cabos resort on Médano in 1991. In 1997 Pueblo Bonito Rosé opened next door, and the older hotel picked up the nickname "Blanco" for its white walls.

On the corridor, architect Javier Sordo Madaleno finished the Westin Regina around 1994: one long curved wall across a natural crater with a six-story gap that works as a window to the sea. It is now The Westin Los Cabos Resort Villas. Las Ventanas al Paraíso opened in 1997, with cedar suite doors carved in Guadalajara. In 1998 the Bulnes family added Playa Grande next to the Solmar.

The 2000s: the corridor fills in

The decade opened with Royal Solaris in San José del Cabo in July 2001. In 2002 three hotels opened: Hilton Los Cabos in February, with 375 rooms; Esperanza on the cliffs of Punta Ballena, Auberge's first property outside the United States; and Pueblo Bonito Sunset Beach on the Pacific. Its adults-only sister, Pacifica, followed in 2005.

RIU arrived on Médano with Riu Palace Cabo San Lucas in 2004 and Riu Santa Fe in 2007. In February 2007 the Meliá Cabo San Lucas was relaunched as ME Cabo. Casa Dorada opened in early 2008. On July 13, 2009 Capella Pedregal opened on the Pacific side, reached through a private tunnel about 300 meters long. It is now Waldorf Astoria Los Cabos Pedregal.

2011: Grand Solmar and the end of an era

Grand Solmar Land's End opened in February 2011, built into the rocks of Land's End next to the Arch. Luis Bulnes died that same year. His son Francisco led the company until 2021, and today Rosario Bulnes is its president.

2014: Hurricane Odile

Hurricane Odile made landfall on September 13, 2014, and many resorts closed for repairs. Grand Fiesta Americana reopened on November 23, 2014, one of the first. Hyatt Ziva reopened on September 15, 2015. Las Ventanas was the last of the luxury hotels to reopen, because its owner had it rebuilt to match its original look.

The 2010s: the big brands arrive

The second half of the decade brought most of the names on the corridor today:

• 2013: Hyatt Ziva Los Cabos, the first all-inclusive with the Hyatt name.
• 2015: Breathless Cabo San Lucas at the marina, The Cape on Monuments Beach and JW Marriott in Puerto Los Cabos.
• 2016: Grand Velas in December, and the Meliá Cabo Real reopened as Paradisus Los Cabos.
• 2018: Montage, Le Blanc, Viceroy (opened in 2016 as Hotel Mar Adentro) and Riu Palace Baja California.
• 2019: Hard Rock and Nobu in Diamante, and Garza Blanca on the corridor.

In 2022 the old Cabo Villas on Médano reopened as Corazón Cabo, and in 2024 the Barceló Grand Faro became GR Solaris Lighthouse. Every hotel on this page, with its distance to the marina, is in our hotels hub.

Seeing the old hotels from the water

The two oldest hotels in town, Finisterra and Solmar, sit on Land's End, and you see both from the sea on the way to the Arch. Our usual 2 hour route passes Pelican Rock, the sea lions, the Arch, Lover's Beach and Divorce Beach, then comes back along Médano, past the Pueblo Bonito and RIU hotels. For more trivia about the town, see Cabo San Lucas facts.

A 2 hour charter starts at USD 519 / MXN 9,799 per boat on the Chaparral 28, for up to 10 guests, or USD 549 / MXN 10,499 on the Bayliner 30, for up to 6. Prices include 16% IVA and the CONANP fee for the Arch area; a 15% crew tip is suggested and not included. Each yacht boards at its own dock in Marina Cabo San Lucas, and if you are staying out on the corridor we can book your transfer to the marina. Choose the date and the yacht in the planner.

Yachts in this guide

Chaparral 28Sport boat · up to 10 guestsfrom $519 / 2 hBayliner 30Cabin cruiser · up to 6 guestsfrom $549 / 2 h

Questions people ask

What was the first hotel in Cabo San Lucas?

Hotel Hacienda, which opened in 1963 where the marina meets Médano Beach; in 1954 the town had no hotels. Hotel Finisterra followed in 1971 near Land's End, and Hotel Solmar in 1974.

When did Palmilla open?

Forbes México dates the idea to 1956 and Discover Baja says Abelardo Rodríguez and Lucille Bremer opened the 15-room hotel in 1957. In its first years it could be reached only by private plane or yacht.

Who founded the Solmar hotels?

Luis Bulnes Molleda, who came from Ribadesella, Spain, in 1954 to manage the Cabo San Lucas tuna cannery. He opened Hotel Solmar in 1974 with 20 rooms and two suites.

Which is the oldest hotel still operating in Cabo San Lucas?

In town, Sandos Finisterra: it opened in 1971 as Hotel Finisterra and joined the Sandos brand in 2012. In all of Los Cabos, One&Only Palmilla goes back further, to its opening in 1957.

Plan your day on the water

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