Ian Schrager buys penthouse at his own Edition Residences

Hotelier scored unit at 30 percent discount from asking price

TRD MIAMI /
Mar.March 08, 2016 10:30 AM

Talk about believing in your own product.

Hotelier Ian Schrager, who developed the Miami Beach Edition, just paid $5.5 million for a penthouse unit at the newly built project.

Unit 1405 had been owned by financier Bruce Berkowitz since the Edition started recording sales on its 25 condos early last year.

Berkowitz is the founder of Fairholme Capital Management, a Miami-based investment advisory firm that deals with funds worth billions of dollars.

He paid $6 million for the 2,268-square-foot residence at the Edition, which boasts floor-to-ceiling windows, bleached teak wood floors and a large rooftop terrace.

But after realizing it would sit empty most of the time, Berkowitz decided to put it in the market, listing agent Toni Schrager told The Real Deal when the unit was first put up for sale in March 2015.

His asking price: $7.8 million, or about $3,439 per square foot.

After the unit languished for nearly a year, Berkowitz was worked down to $2,425 per square foot — a nearly 30 percent discount over what he hoped it would fetch.

Toni Schrager, head of Avatar Real Estate Services and sister-in-law to Ian Schrager, brokered both sides of the deal.

Ian Schrager now joins a star-studded cast of unit owners at the project, which includes ultra-high-net-worth financiers from New York and Bollywood actresses alike.

He co-developed the Edition, built out of the former Seville Hotel at 2901 Collins Avenue, alongside Marriott International. Shortly after the 293-room hotel was completed, Marriott sold it to the Abu Dhabi Investment Authority for $230 million.


Related Articles

arrow_forward_ios
Lennox Miami Beach

Lennox Miami Beach hotel exec sues father-in-law for ousting him: lawsuit

Lennox Miami Beach hotel exec sues father-in-law for ousting him: lawsuit
Stephen and Petra Levin, David Deshe and 4350 North Bay Road (Credit: Nicholas Hunt/Getty Images, LinkedIn, and Google Maps)

Drink to that: Beverage tycoon sells waterfront Miami Beach lot to Vero Water mogul

Drink to that: Beverage tycoon sells waterfront Miami Beach lot to Vero Water mogul
citizenM founder Rattan Chadha, Russell Galbut and a rendering of 1212 Lincoln

CitizenM buys hotel portion of Crescent Heights’ 1212 Lincoln project

CitizenM buys hotel portion of Crescent Heights’ 1212 Lincoln project
Commissioner Ricky Arriola and an aerial of Sunset Harbour in Miami Beach (Compass)

Miami Beach moves toward banning chain restaurants and stores in Sunset Harbour

Miami Beach moves toward banning chain restaurants and stores in Sunset Harbour
1 Hotel South Beach (Credit: Google Maps)

Starwood Capital affiliate sues 1 Hotel & Homes South Beach condo association for trademark infringement

Starwood Capital affiliate sues 1 Hotel & Homes South Beach condo association for trademark infringement
Venetian Islands estate (Credit: Paul Stoppi)

Venetian Islands estate with $1M aquarium hits the market for $34M

Venetian Islands estate with $1M aquarium hits the market for $34M
Ziel Feldman and Richard Branson with renderings of the Shore Club (Credit: Getty Images)

The breakdown: Inside Virgin Hotels’ $330M vision for South Beach and how it vanished

The breakdown: Inside Virgin Hotels’ $330M vision for South Beach and how it vanished
Mitchell Kaplan and Books & Books at 927 Lincoln Road (Google Maps) 

Books & Books closes its chapter on Lincoln Road

Books & Books closes its chapter on Lincoln Road
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...