Aventura-based BH3 paid $13.5 million for a beachfront hotel in Hillsboro Beach and plans to reposition the property with a full renovation, developer Daniel Lebensohn told The Real Deal.
Property records show Oceanside Mile LLC, led by Sharona Yahuda, sold the 69-unit, six-story Seabonay Beach Resort at 1159 Hillsboro Mile, as well as the Intracoastal-fronting parking lot across the street to 1159 Hillsboro Mile LLC and BNH IV HM TRI LLC, companies tied to BH3. The buying entities financed the deal with an $11 million mortgage from MIOF Credit 1 LLC, a Delaware company.
The shuttered hotel sold for nearly $196,000 per key.
“For the moment, our focus is remodeling the asset and what will be done is to be determined. It will be ready for a relaunch in January 2018,” Lebensohn said, adding that BH3 may sell the property or operate it as a hotel. He said the deal is unique because no other hotels can be developed in the area.
The nearly 63,000-square-foot hotel was built in 1990. It last sold for $10.45 million in 2007. Together with the parking lot across the street, BH3 acquired about 54,000 square feet of land, or more than 1.2 acres.
Hillsboro Beach is known for its stretch of exclusive, pricey homes on Hillsboro Mile. In March, Patrón Spirits Company CEO Edward Brown paid $20 million for a spec home at 1115 Hillsboro Mile. Le Palais Royal, a 91,000-square-foot palace in Hillsboro, was at one point listed for $195 million, but was taken off the market in recent months.
BH3 is co-developing Privé at Island Estates, a luxury condo project that is mired in litigation and is slated to open this summer. The firm also purchased a building in the Miami Design District in March for $9 million.