The Real Deal Miami

Starwood keeps Artecity

June 30, 2011 10:27AM

The 202-unit Artecity condo in Miami Beach was returned to a Starwood
Capital-led investment group after it failed to attract any bids. The
minimum bid was set at $50 million, which likely scared off potential
bidders, according to Condo Vultures founder Peter Zalewski. “At that
price, you’re talking about $402 a foot,” he said. “That would mean a
bulk buyer would need to [sell for] at least $600 a foot and more likely
$800 a foot. I don’t know that $800 a foot would be possible at
Artecity.” Starwood acquired the property’s loan for a discount in 2009.
Zalewski said Starwood could turn a profit with far fewer sales. [Miami