In response to a question from a Twitter user interested in the mechanics that made police cars appear on a particular street in the 2002 game, Vermeil explained the details.
“It’s surprising you noticed this,” the developer said. He explained that usually police cars are formed at a sufficient distance from the player and are ordered to attack him.
But in Vice City, he experimented with predetermined spawn locations where police cars would appear at the right time and at the right initial speed to confront the player.
But such places weren’t built everywhere: “It was a pain to set them up, so I only set up about five of them in Vice City, and you found one of them.” They activate when you have a wanted level of three or higher (I think), and once triggered you have to wait a few minutes for it to happen again. This only happens when you approach them from the hotel side.”
Source: Ferra

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