The Real Deal Miami

Key West Harbour up for grabs

Marina is the southernmost in the United States, as relations with Cuba thaw

August 06, 2015 12:45PM
By Ina Cordle

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Key West Harbour cropped

Key West Harbour

Key West Harbour, a marina on Stock Island in Key West, is asking $50 million, marketed as an potential development site for a hotel, The Real Deal has learned.

Completed in 2008, the marina development includes 425 dry racks and 99 wet slips, of which 30 dry racks and one wet slip were sold to individual owners when it was initially delivered.

Ackman-Ziff told TRD that it is listing the property for sale at a “whisper price of $50 million,” which it calls a significant discount to its original development cost. George Vail and Mark Rutherford of Ackman-Ziff’s Miami office are leading the marketing.

“The new owner will benefit from the marina’s best-in-class amenities, its location in an extremely land constrained market, rising resale values and rental rates for slips, and Key West’s legendary attraction as a tourist, boating and fishing mecca,” the firm said in a press release.

Key West Harbour’s amenities include an on-site ship store and fuel supply, a clubhouse with a restaurant and pool, a private beach, and the only hurricane-rated dry rack facilities in Key West.

In addition, Key West Harbour, at 6000 Peninsular Avenue, is the southernmost recreational marina in the continental United States. As relations between the United States and Cuba continue to thaw, the potential number of boaters looking to launch trips from Florida to the Caribbean island could escalate, Ackman-Ziff said.

A buyer could potentially sell out the remaining inventory, increase rents, or develop a hotel resort on the site, the firm said.

Stock Island, located immediately east of Key West, is the Southernmost City’s less glamorous cousin. It’s home to tightly packed housing, where many Key West workers live, and to boatyards and fish houses on its southern edge. That waterfront, however, has caught the interest of developers.

The first Stock Island development to break ground is by Singh Investors, which plans a hotel and vacation rental resort along the Stock Island waterfront, featuring 79 vacation rental units and 17 hotel rooms spread over five buildings. Amenities will include a restaurant, seven pools, a fitness center and watersports concessions. Nearby, is Oceanside Marina, which has 96 dockuminium slips.