The Real Deal Miami

SoBe hotel under construction asks $11M

Developer completed the underground parking and foundation
By Katherine Kallergis | August 27, 2018 09:46AM

Rendering of 411 Michigan Avenue and Gianfranco Rondón

A Venezuelan businessman is sticking to the non-real estate businesses he knows – and is looking to sell a hotel under construction in Miami Beach’s South-of-Fifth neighborhood.

RG Michigan 2014 LLC, led by Gianfranco Rondón, hired Jeff Cohen of Brown Harris Stevens to list the partially developed boutique hotel at 411 and 419 Michigan Avenue for nearly $11 million. Rondón has reportedly had his hand in the cellular phone accessories business, satellite technology and solid waste in Venezuela. He has spent about $5 million for design and construction on the hotel project so far, Cohen said.

Property records show Rondón’s company spent $4.25 million on the 14,000-square-foot site in 2014, and $3.6 million on the adjacent 7,000-square-foot site in 2016. Kobi Karp Architecture and Interior Design designed the boutique hotel, which includes a ground floor restaurant and bar.

The developer completed the underground parking and foundation for the hotel and paid the city’s impact fees. Cohen said the buyer can move forward with plans for a 39-key hotel, or build more micro units. The property could also be developed into a condo or office building, and a buyer could also transfer development rights from the adjacent property.

Last year, Ronny Finvarb sold a vacant 9,000-square-foot lot at 803 Fifth Street, for nearly $6 million, or about $670 per square foot, to Urbanica Management to build a boutique hotel.

In June, Baskir Capital Management paid $15.25 million for a retail building leased to the Brazilian steakhouse Fogo de Chao nearby at 836 First Street.