By Jorge Casuso

March 3, 2026 -- A Sunset Park motel City officials say has long been a "hotbed" for drugs and other illegal activities will be permanently shut down under a settlement approved by the City Council last week.

The 7 to 0 vote last Tuesday ends a longstanding battle between the City and the owners of the Pavilions Motel at 2338 Ocean Park Boulevard near Clover Park that dates back more than two decades.

The settlement that ends the lawsuits filed by both parties comes 11 months after the City revoked the motel's business license and shut it down for a year after declaring it a public nuisance.

The City's 20-page lawsuit filed in State Superior Court in May 2024 alleged that despite law enforcement efforts, the motel was "a hotbed for drug activity, fights, prostitution, building violations, and other quality of life issues."

Under the terms of the settlement, Saaed Farzam, who ran the motel with his wife, Goharshad, for 35 years, agreed "not to reopen the motel, operate any other business at the property or allow any other occupancy of the property," according to interim City Attorney Heidi von Tongeln.

The owners also must maintain the property in compliance with the City's drug abatement law and its vacant property nuisance code.

In addition, the settlement bars the couple from owning any other motel in Santa Monica for 10 years or from transferring ownership to a buyer without the City's approval.

The owners must pay a $100,000 penalty if they violate the terms of the settlement, according to von Tongeln's report from closed session.

As part of the approved agreement, the owners dismissed their case in Federal Court challenging the City's revocation of their business license to operate a hotel on the property, von Tongeln said.

Neighboring residents have long complained they have been tormented by illegal activities at the unruly motel, and Santa Monica police officers have responded to numerous calls over the years.

According to the City's lawsuit, the Pavilions Motel was the target of a joint code enforcement and police operation in 2007 that resulted in the arrests of several people, including owner Saeed Farzam, and the temporary closure of the motel.

During the 16 months before the motel was closed last March, SMPD dedicated at least 100 man-hours to policing the area surrounding the motel, according to the lawsuit.

“The Pavilions Motel has had an outsized impact on the community and on the deployment of police resources for years,” then Police Chief Ramon Batista said in a statement when the lawsuit was filed.