The Real Deal Miami

Marriott in downtown Miami boosts loan to $52M

Mortgage has passed through several banks
By Sean Stewart-Muniz | July 24, 2015 12:45PM

The lobby of the Courtyard by Marriott Downtown Miami hotel, from Marriott's website

The lobby of the Courtyard by Marriott downtown Miami hotel. (Credit: Marriott)

A Courtyard Marriott hotel in downtown Miami just refinanced and increased its mortgage, bringing the grand total to $52 million in financing.

The 13-story hotel, at 200 Southeast Second Avenue, was built in 1975 and has 233 rooms. It was recently renovated by its longtime owner, New York-based AVR Realty Co.

An affiliate of AVR has owned the hotel since 1987, according to Miami-Dade County property records. A sales price is not available. In 1997, the company took out a $7.2 million mortgage on the property from the Allied Capital Commercial Corp.

Allan Rose, CEO and owner of AVR Realty Co., in a 2011 interview

Allan Rose, CEO and owner of AVR Realty Co., in a 2011 interview

Since then, the mortgage has been transferred and consolidated between a handful of banks and financial institutions. It also grew from the original $7.2 million to more than $15 million.

Now, the company’s outstanding balance of $15.756 million has been increased to $52 million by New York-based Cantor Commercial Real Estate Lending.

AVR had expressed interest in selling the hotel last year, when the company brought on commercial brokerage CBRE to market the property as a redevelopment opportunity. At the time, CBRE said the 1.1-acre lot could fit a building with 1,070 condominiums.

Recently, the company invested more than $200 million in South Florida multifamily assets. AVR paid $158.5 million for Mill Creek’s Modera Pembroke Pines, and another $78 million for the Altis Sheridan Village, also in Pembroke Pines.