Russell Galbut is continuing to sell off part of his hotel portfolio.
Galbut’s Crescent Heights sold 50 percent of its Mondrian South Beach condo-hotel to investor Michael S. Liebowitz for an undisclosed amount. Galbut, himself, will retain 50 percent ownership, and Menin Hospitality will continue to manage and operate the property, according to a press release.
Menin helped develop the 335-key condo-hotel at 1100 West Avenue. It was built in 2008 and was previously run by Morgans Hotel Group.
The hotel is known for its pool that overlooks Biscayne Bay and is a popular destination for Instagramers. The property includes a spa, gym and the Mondrian Caffe.
Liebowitz is president and CEO of Harbor Group Consulting, which advises large banks such as JPMorgan Chase, Goldman Sachs, Barclays, UBS and Deutsche Bank, according to the release.
He said he is looking to invest in more hotel properties in Miami Beach and is attracted to the area due to the influx of wealthy people flocking to the area for tax benefits. The Mondrian is a good investment opportunity because that part of South Beach has fewer hotels than Collins Avenue, he said.
Leibowitz met Galbut a few weeks ago and immediately knew he wanted to do business with the long-time Miami Beach developer. “He was a perfect guy to be partners with. We did a handshake deal, and we closed in a couple of weeks,” Leibowitz said. “We are both guys of our words.”
Over the past few months, Galbut has sold off or listed some of his South Florida hotel portfolio.
A company tied to Galbut and Keith Menin put the 26-room Domio Kaskades Hotel in Miami Beach on the market for $15.8 million. If the sale goes through, it will be the third Miami Beach hotel Galbut and Menin have sold since July.
In August, companies tied to Menin and Galbut sold the shuttered Sanctuary Hotel at 1745 James Avenue for $14.4 million to Blue Road. A month earlier, Galbut sold the Bentley Hotel on Ocean Drive for $28 million.
Galbut’s Crescent Heights is one of the most active developers in Miami Beach. The company is currently developing a 44-story, 519-foot-tall luxury condo tower called Park on Fifth at 500 Alton Road, on the site of the former South Shore Hospital.