Chetrit gets loan for Collins Park Miami Beach Hotel
The Chetrit Group has marked a lifeline for the redevelopment of its long-planned Collins Park hotel, The real deal has learned.
New York-based Chetrit has secured a $ 62.5 million construction loan for the project, sources say. Chetrit has owned the property for almost a decade. Maxim Capital Group, who declined to comment, is the lender. Robert Verrone’s Iron Hound management company negotiated the financing.
The four-building project occupies the entire block between Park and Washington Avenues and 20th and 21st Streets. When completed, it will include around 280 hotel rooms, a number of food and beverage concepts, underground parking and an interior courtyard. Kobi Karp is the architect of the project.
The financing repaid a $ 55 million loan that BB&T provided to the developer in 2015, Verrone said. Maxim’s two-year loan, which includes extension options, fully capitalizes the project for Chetrit, he added. The loan was also used to satisfy the privileges of the promoter.
Construction has been going on for years.
CG Sunny Isles, run by Joseph Chetrit, paid $ 10.8 million for the six properties in 2012, according to records. The buildings were destroyed by fire in 2007.
The project is across from the renovated Miami Beach Convention Center, near Collins Park and the Bass Museum. It is a few blocks from the W South Beach and other oceanfront hotels on Collins Avenue.
Chetrit has a number of prestigious locations in South Florida, including the Tides Hotel on Ocean Drive, a development site along the Miami River, and the oceanfront Miami Beach Resort. $ 15 million in funding from MSD Partners for the Miami River project. He was sued for the seizure of 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.