The Chetrit Group has secured a funding bailout for their long-planned hotel refurbishment in Collins Park. The only true have learned.
New York-based Chetrit has received a $ 62.5 million home loan for the project, according to sources. Chetrit has owned the property for nearly a decade. Lender is Maxim Capital Group, which did not want to comment. Robert Verrone’s Iron Hound Management Company arranged the funding.
The four-building project occupies the entire block between Park Avenue and Washington Avenues and 20th and 21st Streets. After completion, it will include around 280 hotel rooms, various catering concepts, an underground car park and an inner courtyard. Kobi Karp is the project architect.
Funding paid off a $ 55 million loan that BB&T made available to the developer in 2015, Verrone said. Maxim’s two-year loan, which includes renewal options, fully capitalizes on the project for Chetrit, he added. The loan was also used to settle liens on the property developer.
Construction has been going on for years.
CG Sunny Isles, led by Joseph Chetrit, paid $ 10.8 million for the six properties in 2012, records show. The buildings were burned out in a fire in 2007.
The project is across from the renovated Miami Beach Convention Center, near Collins Park and the Bass Museum. It is just blocks from W South Beach and other oceanfront hotels on Collins Avenue.
Chetrit owns a number of high profile locations in South Florida including the Tides Hotel on Ocean Drive, a development area on the Miami River, and the Miami Beach Resort on the ocean. The company recently secured $ 15 million in funding from MSD Partners for the Miami River Project. It was sued for foreclosure on the Tides Hotel in February.
In April, Chetrit sold a multi-family portfolio of nearly 5,500 units in Florida, Indiana, Kentucky, Ohio, and Pennsylvania for $ 390 million, likely freeing up capital for the investment and development company.