London Arms, a historic hotel-turned-affordable housing complex in Miami Beach, was just sold for $12.3 million.
The four-story building is Neoclassical revival in style and was most recently owned by a joint venture between Wexford Capital, an investment advisory company, and Aria Development Group, a real estate company.
It was first built in 1930 as a 52-room hotel that was later converted into 33 apartments, according to a news release. Aria and its partner Wexford paid $6.5 million for the building at 727 Collins Avenue in 2013 and planned an “adaptive redevelopment” project, including a conversion of the ground floor into 4,700 square feet of retail.
After winning approval for the ground floor retail from Miami Beach’s Historic Preservation Board, the companies began the conversion in June 2014.
“We see tremendous potential in this investment and look forward to capitalizing on strong interest from retailers,” David Arditi, a principal with Aria, said in a statement at the time of its purchase.
After the renovations were completed, the partners decided to sell. A news release from commercial brokerage Marcus & Millichap, which brokered the sale on behalf of Aria and Wexford, said the retail space and 25 of the rental apartments are “rent-ready.”
The buyer is an LLC from Atlanta. More information was not disclosed.
“London Arms is a significant South Beach property that is ideally positioned for immediate income potential,” Arditi said in the most recent release. “We take pride in our meticulous renovation of this historic gem and are confident that the new owners will utilize the building to its greatest capacity.”
Drew A. Kristol, Kirk D. Olson, Felipe J. Echarte, Evan P. Kristol and Still Hunter III of Marcus & Millichap brokered the sale for the owners. Kristol and Olson also brought the buyer.