After Tommy Vercetti hears from Lance that the hotel is refusing to pay the hotel's protection to him, as the hotel is already protected by another local gang, he heads down to the hotel himself and kills the guards protecting the area. Shortly after wasting the guards, Vercetti then heads down and destroys the DBP Security Building down the road, allowing the hotel owner to pay their protection to Vercetti.
The fate of the owner remains unknown or is completly up to the player. During the mission, the player can choose to let him live or choose to kill him. His death doesn't affect the game's storyline.