Ritz-Carlton Coconut Grove sells for $25M
Hersha Hospitality also owns the Residence Inn Miami Coconut Grove across the street
February 03, 2017 10:30AM
By Katherine Kallergis via The Real Deal
Photo || via Ritz Carlton Coconut Grove
Gencom has sold the Ritz-Carlton Coconut Grove for $24.63 million, or about $214,000 per room, to Hersha Hospitality Trust.
Records show Gencom affiliate Genmag Coconut Grove LLC sold the 115-room hotel, excluding the condo-hotel residences, to HHLP Coconut Grove RC Associates LLC.
The property, at 3300 Southwest 27th Avenue, was built in 2002. Amenities include a lounge, restaurant, a poolside cafe, and a 6,000-square-foot spa and gym. The 13,500 square feet of event space includes a 3,200-square-foot garden courtyard and a 5,200-square-foot ballroom, according to the website. Gencom refinanced the hotel in May 2015 with a $15 million loan.
Gencom, founded and led by Karim Alibhai, bought the Ritz in a joint partnership with the Continental Companies in 2011 for $10.2 million, according to property records. The hospitality investment and development firm owns a number of Ritz-Carlton properties, including the Ritz in Fort Lauderdale, in addition to Marriott, Hyatt and others, according to its website. In 2015, it sold a majority interest of the Ritz-Carlton Key Biscayne for $325 million to Carey Watermark Investors.
Hersha, a hotel real estate investment trust based in Philadelphia, is building a 135-room hotel at the Village of Merrick Park in Coral Gables. It also owns the Courtyard Cadillac Miami Beach Hotel, a 355-key hotel at 3925 Collins Avenue in Miami Beach. Last year, Hersha sold a 70 percent majority interest in seven Manhattan hotels to Chinese investment firm Cindat Capital Management in a deal worth $571.4 million.
The REIT also owns the Residence Inn Miami Coconut Grove near the Ritz Coconut Grove, at 2835 Tigertail Avenue. The neighborhood is seeing a surge of new retail and condo activity, including the Grove at Grand Bay and Park Grove condo developments and new retail like Panther Coffee, a Büro co-working space, Harry’s Pizzeria and other new tenants.
Hersha could not immediately be reached for comment.
HERSHA HOSPITALITY TRUST (HT) WAS FOUNDED IN 1984
Hersha Hospitality Trust (NYSE: HT) is a self-advised real estate investment trust in the hospitality sector, which owns and operates high quality upscale, luxury and lifestyle transient hotels in urban gateway markets and coastal destinations. The Company’s 48 hotels totaling 7,634 rooms are located in New York, Washington, DC, Boston, Philadelphia, Miami, Los Angeles, Silicon Valley, and Seattle.
HT’s portfolio consists of high RevPAR and high EBITDA growth hotels in innovation-driven gateway markets and high barrier resort locations. The company’s segmented local clusters provide immediate operational advantage and local knowledge to drive outperformance in each of its core markets.
HERSHA HOSPITALITY owns the following 6 hotels in Florida:
The Blue Moon Hotel, Miami Beach
The Winter Haven, Miami Beach
The Residence Inn, Coconut Grove
Cadillac Hotel & Beach Club, Miami Beach
Parrot Key Hotel & Villas, Key West, FL