$800 Million Sale of Second Largest Hotel in South Florida Falls Through
A roughly $800 million deal between Jeffrey Soffer’s Fontainebleau Development to acquire Brookfield Property Partner’s Diplomat Beach Resort Hollywood was called off on May 8 as the effects of COVID-19 on South Florida’s hotel and tourism industries continues to cause havoc.
An $800 million deal between Jeffrey Soffer’s Fontainebleau Development and Brookfield Property Partner’s Diplomat Beach Resort Hollywood was called off on May 8 as the effects of COVID-19 on South Florida’s hotel and tourism industries continues to cause havoc. The 1,000 room Diplomat Beach Resort Hollywood, located at 3555 South Ocean Drive in Hollywood, FL, is the second largest hotel in South Florida following Soffer’s 1,600 room Fontainebleau Miami Beach, whose $975 million CMBS loan entered special servicing in March 2020. Fontainebleau Development is reportedly still in discussions with Brookfield Property Partners and may revisit the acquisition in the future.
The Diplomat Beach Resort Hollywood was first marketed for sale in January 2019 asking $1 billion, $1 million per room. Brookfield Property Partners, which is the real estate division of the Toronto-based Brookfield Asset Management, acquired the hotel for $460 million in 2014 and rebranded the flag from a Westin hotel to a Curio Collection by Hilton. In 2017 Brookfield completed a $100 million renovation and in September 2019 led a $168 million refinancing of the hotel with the funding provided by Morgan Stanley, J.P. Morgan and Wells Fargo.
HES Group Secures Loan $9.5 Million Loan For Triptych Hotel in Midtown
HES Group has secured a $9.5 million loan for Triptych Hotel, in Midtown Miami, adjacent to Miami Design District. The loan was provided by a Panama-based lender 21 Brands S.A. Triptych Hotel was approved earlier this year, after HES Group sold JQ Group shares in the project for undisclosed terms.
HES Group has secured a $9.5 million loan for Triptych Hotel, in Midtown Miami, adjacent to Miami Design District. The loan was provided by a Panama-based lender 21 Brands S.A. Triptych Hotel was approved earlier this year, after HES Group sold JQ Group shares in the project for undisclosed terms. Previously it was reported that HES Group was looking for $120 million in construciton financing. The plans feature 20-story mixed-use tower with 252-hotel rooms, 38,000 SF of retail, 41,000 SF of office space, and 300 parking spots. The hotel will be operated as part of Hilton Worldwide's Curio Collection. HES Group, which is managed by Francisco Arocha, purchased the site for $12.25 million in 2014 under the affiliate-entity Aventura Hotel Properties, LLC. HES Group also owns and manages Aloft West Palm Beach and Hotel Indigo in Brickell.
Triptych Hotel Approved in Midtown
Triptych Hotel has been approved under the Miami 21 Zoning Code after submitting revisions to their original plans and scaling back the project. New plans show the project to rise 20 stories featuring 252 hotel rooms, 300 parking spaces, 38,000 SF of retail and 41,000 SF of office space. The hotel will be operated as a Hilton Curio Hotel. The hotel will be among the first in Midtown and will join HYDE Midtown when completed as the main hospitality options between Midtown and Design District. Triptych Hotel is being developed by HES Group and JQ Group.
Ytech has unveiled 75 Broadway in Brickell: a 52-story collection of 106 homes from $3 million, designed by KPF with ACPV interiors and Enea landscapes. Completion is anticipated in late 2029.