UPDATED September 27th, 3:30 p.m.: A group of investors just scored an $11 million mortgage on a strip of hotels and motels near Fort Lauderdale Beach, records show.
Hollywood-based A&D Mortgage was the lender. The balloon mortgage is set to mature September 2027, records show.
My FL 3821 LLC, My FL 3811 LLC, Rentals Vacation Property LLC and My FL Management LLC, took out the financing. The entities are all led by Yury Gnesin and Star Management LLC, records show.
Combined, the entities spent $10.2 million on the properties. They first bought Royal Beach Palace Hotel at 3711 North Ocean Boulevard for $5.5 million in 2013, followed by Ocean Breeze Hotel and Apartments at 3821 North Ocean Boulevard in 2015 for $1.4 million; Sundeck Motel and Apartments at 3811 North Ocean Boulevard in 2015 for $1.8 million; and Blue Lagoon Hotel at 3801 North Ocean Boulevard in 2015 for $1.5 million.
The hotels and motels sit shoulder-to-shoulder along North Ocean Boulevard and offer a total of 118 units, combined. Records show the larger hotel, Royal Beach Palace Hotel, has 66 units. It spans 36,876 square feet and features jacuzzi honeymoon suites, one-bedroom suites and studio suites with kitchens. Ocean Breeze Hotel and Apartments, Sundeck Motel and Apartments and Blue Lagoon Hotel each average about 6,156 square feet. Amenities include one- and two-bedroom units with pool access.
New development, including Paramount Fort Lauderdale Beach and the Gale, as well as redevelopment of Bahia Mar resort and marina, have led to 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.
Correction: A previous version of this story incorrectly listed a group of investors from a company that has the same name.