The Real Deal Miami

HES Group buys out partner on Triptych project in Midtown Miami

Developer closed $15M refi for the site
By Katherine Kallergis | August 15, 2018 01:30PM

Renderings Of Triptych

HES Group refinanced the site of a planned mixed-use hotel across from Midtown Miami Shops and bought out its former partner, JQ Group of Companies.

Property records show HES affiliate Aventura Hotel Properties scored two loans for $15 million and $8.2 million from LV Midtown LLC and QR Triptych LLC, respectively, for the development site at 3601 North Miami Avenue.

Jose Herrera, HES Group general manager, said the refinancing was used in part to buy out the developer’s previous partner on the project, JQ Group of Companies. JQ purchased a stake in the land and project in 2016, which it valued at more than $10 million at the time.

As planned, Triptych will include a 297-room Hilton Curio Collection hotel and about 38,000 square feet of retail space, Herrera said. New plans for the building no longer include office space. The 20-story tower was approved by the city of Miami in 2015.

HES, a Venezuelan hotel development firm with an office in Miami, recently completed the Aloft Coral Gables hotel. It’s been sitting on the Midtown Miami site since it bought the property in 2014 for $12.25 million.

Herrera said the firm is negotiating a construction loan with plans to break ground on Triptych in the first quarter of next year. He declined to provide an amount, but said it would be less than the $120 million the project was previously looking to secure.

In October, HES closed on a $9.5 million loan for the site from 21 Brands S.A., a Panamanian lender.