Expanding into the hospitality sector, fashion icon Tommy Hilfiger is on the verge of acquiring the Raleigh Hotel in South Beach for an undisclosed price.
Hilfiger is in discussions with Raleigh owners David Edelstein and Sam Nazarian about buying the 1775 Collins Avenue property and extensively renovating the hotel, the Miami Herald reported. The designer told Women’s Wear Daily he wants to transform the Raleigh into a five-star hotel and make it the flagship property of his new Hilfiger Hospitality venture. Hilfiger and the sellers began talking about the potential deal during Art Basel Miami Beach last December.
Edelstein and Nazarian paid $55 million for the property in December 2012. Nazarian’s sbe operates the Raleigh and is set to continue managing the 105-room hotel if the sale to Hilfiger closes. A Michael Schwartz-run restaurant is also expected to stay put.
Renovations would begin next January. The hotel was originally constructed in 1940. [Miami Herald] — Eric Kalis