The Residence Inn by Marriott Miami Beach Surfside extended-stay hotel traded for $69.9 million, marking continued investor demand for South Florida hotels.
An affiliate of Atlanta-based Hotel Development Group sold the 175-key property at 9200 Collins Avenue in Surfside for $399,429 per room. Records show the buyers are 11 entities that tie to Menomonee Falls, Wisconsin-based Continental Properties.
Bill Hodges and Clint Hodges of Hodges Ward Elliott represented the seller.
The four-story, pet-friendly hotel has two meeting rooms with 930 square feet of meeting space, according to Marriott’s website.
It was developed in 2016 on 1.7 acres, property records show.
Hotel Development Group, led by Allen O’Brien, built the hotel as part of its HDP Investment Fund I portfolio, which spans 12 hotels with 1,225 rooms, according to the company’s website. This is the only Florida property that is part of the fund, with the others in Georgia and South Carolina.
Hotel Development, which builds and invests in hotels, is a joint venture between Hotel Equities and IRE Capital.
Hotel Development bought the lot for the Surfside hotel along with other parcels in 2013 for $5 million, property records show.
Continental Properties develops, owns and manages multifamily, retail and hospitality real estate, according to its website. It lists one Deerfield Beach hotel as a past project. Founded in 1979, Continental is led by James Schloemer.
The deal rounds off a year that saw several big hotel sales in South Florida.
In the largest deal, Pebblebrook Hotel Trust bought the Margaritaville Hollywood Beach Resort for $270 million in September.
The top-dollar sales speak to a rebounding hospitality market. By mid-2021, the sector still was awaiting the return of convention and cruise business, but had already welcomed a return of tourism.
In another recent deal this month, the Waterstone Resort & Marina Boca Raton traded for $37.9 million.