Big-ticket hotel sales were few and far between in South Florida this year as the market struggled to recover from a dreary 2016.
The five biggest deals ranged from the $36 million sale of the Ritz-Carlton Coconut Grove to the $85 million trade of the Courtyard Fort Lauderdale Beach by Marriott, according to The Real Deal’s analysis of data from property records and Real Capital Analytics
The top deals pale in comparison to the previous year, which was led by Hyatt Hotels’ $229 million purchase of the Confidante Hotel in Miami Beach. But industry insiders are optimistic about a turnaround: Brokers and hoteliers expect South Florida’s hospitality market will pick up more business from the hurricane-ravaged tourist destinations in the Caribbean and the Florida Keys.
Here are the biggest hotel trades of 2017:
1) Courtyard Fort Lauderdale Beach by Marriott
$85M
Austin, Texas-based real estate investment trust Summit Hotel Properties paid roughly $85 million for the Courtyard Fort Lauderdale Beach by Marriott in May.
Fillmore Capital Partners of San Francisco sold the 261-key, 12-story hotel at 440 Seabreeze Boulevard for nearly $318,000 per room.
Records show the private investment firm paid $35 million, or about $134,000 per room, for the hotel in 2005. It sits on a 1.26-acre property.
2) Conrad Miami
$72 million
In July, Mast Capital and Angelo Gordon & Co. picked up the Conrad Miami hotel on Brickell Avenue for $72 million.
The joint venture, which is renovating the property at 1395 Brickell Avenue, paid about $355,000 per key for the 203-room hotel. European firm Holburn LC sold the Conrad.
It was on the market for about two years with CBRE, which expected the hotel to fetch more than $100 million in 2015.
Conrad Miami is located in the Espirito Santo Plaza, but only the hotel was included in the sale. It was developed by the Espírito Santo banking family of Portugal.
3) Hollywood Beach Marriott
$61M
Ocean Properties Hotels, Resorts & Affiliates bought out its partner Rockwood Capital for $61 million in September at their Hollywood Beach Marriott hotel.
Ocean Properties now owns the 229-room oceanfront hotel at 2501 North Ocean Drive. The deal values the Marriott’s 229 units at $266,400 per key.
The Rockwood-Ocean Properties partnership paid $26.3 million for the hotel in 2007. It was built in 1990 on a 5.5-acre site.
4) Miami Marriott Biscayne Bay
$38 million
The Miami Marriott Biscayne Bay traded hands for $38 million in March, marking the fourth priciest hotel sale in South Florida this year.
The Castle family of Hawaii sold the 600-room hotel at 1633 North Bayshore Drive to Host Hotels & Resorts. The price tag breaks down to about $63,000 per key.
Kaneohe Ranch Management, which manages property owned by the Castle family and its nonprofit, the Harold K.L. Castle Foundation, also sold three condos at the Grand, at 1717 North Bayshore Drive, as well as a piece of adjacent land.
The 31-story hotel was built in 1982 and sits on a 1.9-acre bayfront lot that also fronts a marina. It features a cafe, restaurant, 25 meeting rooms with 20,000 square feet of flex space, a gym and a pool.
5) Ritz-Carlton Coconut Grove
$36 million
In February, Gencom sold the Ritz-Carlton Coconut Grove for $36 million, or about $313,000 per room, to Hersha Hospitality Trust.
The deal included 115 hotel rooms but excluded the condo-hotel residences at 3300 Southwest 27th Avenue. The property was developed in 2002 and includes event space, a lounge, restaurant, poolside cafe, and a 6,000-square-foot spa and gym.
Gencom bought the Ritz in a joint partnership with the Continental Companies in 2011 for $10.2 million.
Harunobu Coryne contributed reporting