The Real Deal Miami

Austin REIT pays $83M for Courtyard Fort Lauderdale Beach

Fillmore Capital Partners sold the 261-key hotel for 2.3 times its last sale in 2005
By Katherine Kallergis | May 26, 2017 10:30AM

Courtyard Fort Lauderdale Beach

Another beachfront property in Fort Lauderdale just traded in a multimillion-dollar deal.

Austin, Texas-based real estate investment trust Summit Hotel Properties paid $82.87 million for the Courtyard Fort Lauderdale Beach by Marriott, property records show. San Francisco, California-based Fillmore Capital Partners is the seller.

The 261-key, 12-story hotel, at 440 Seabreeze Boulevard, sold for nearly $318,000 per room. Milton B. Patipa, senior vice president of Finance at Fillmore Capital Partners, signed the deed transfer of ownership.

Records show the private investment firm paid $34.89 million, or about $134,000 per room, for the hotel in 2005. FCP just sold the hotel for more than double what it paid 12 years ago.

The seller and buyer could not immediately be reached for comment.

In South Florida, Summit Hotels also owns the Hyatt House Miami Airport, which it acquired in 2015 for $38 million.

The Fort Lauderdale Beach hotel, a 1.26-acre property, was developed between 1975 and 1980. The Courtyard features 171 rooms, 90 suites, two meetings rooms with about 1,400 square feet of space, and a new lobby, according to its website. It also has a bistro and a pool deck with a lounge.

It’s just north of a retail strip that Fort Lauderdale investors Aiton “AJ” Yaari and Lior Avidor recently sold for $18.7 million, or about $730 per square foot for the land. That property sold with approved plans for a 213-room hotel. The sellers then closed on a $34 million missing piece of their 4.5-acre assemblage nearby.

New development, including Paramount Fort Lauderdale Beach, the Gale and Jimmy Tate’s revised proposal for the Bahia Mar resort and marina property, has increased demand for properties on the beach. In March, the land underneath a Fort Lauderdale Beach institution, the Elbo Room, sold for $7 million, or $670 per square foot.

The Fort Lauderdale Beach Community Redevelopment Agency also plans to turn Las Olas Boulevard into a festival street, without curbs and medians, expanding the sidewalks for outdoor retail and dining, and converting a nearby parking lot into a park.