Hospitality mogul David Grutman closed on the site of his next home, which previously belonged to Grammy-winning Spanish artist Alejandro Sanz, The Real Deal has learned.
Grutman paid $10.3 million to acquire the house at 2050 North Bay Road out of foreclosure, he said.
Safe Harbour Equity, led by Rafael Serrano, acquired the home’s mortgage in early 2018. Safe Harbour attempted to restructure the debt with Sanz, but Sanz “felt it was a better decision to not restructure the debt,” Serrano said.
The outstanding loan was about $7.4 million with interest, according to a complaint filed in Miami-Dade Circuit Court in 2019. Grutman entered into a contract to buy the property earlier this year, but due to the pandemic the closing was delayed, Serrano said.
Alejandro Diaz-Bazan of One Sotheby’s International Realty and Dina Goldentayer of Douglas Elliman brokered the deal.
Grutman is proposing to knock down the nine-bedroom, eight-bathroom Spanish estate and replace it with a two-story mansion with landscaping by architect Raymond Jungles, according to plans filed with the city. The Miami Beach Design Review Board will vote on the plans Dec. 7. CMA Design Studio is the architect of the planned two-story tropical home.
Sanz’s Gazul Producciones SL Unipersonal paid about $4.8 million for the 0.75-acre property in 2001. It has 160 feet of water frontage. The 7,600-square-foot house, built in 1933 and later expanded, includes a tennis court, gym, guest home, and recording studio.
Sanz, who has won three Grammy awards and 17 Latin Grammys, gained even more international exposure when he collaborated with Shakira on her song “La Tortura” in 2005, which he co-wrote. His most recent album, “El Disco,” was recorded in Miami and features collaborations with Camila Cabello and Nicky Jam.
Grutman recently sold his waterfront Sunset Islands house for $8.3 million to a trust controlled by attorney Mark Bryn.
The Groot Hospitality founder owns the nightclub LIV at the Fontainebleau Miami Beach, Story, Komodo, Swan & Bar Bevy in the Miami Design District, and other concepts. He’s also partnering with Pharrell Williams and developer Eric Birnbaum on the Goodtime Hotel on Miami Beach’s Washington Avenue, which is set to open early next year.
The hospitality entrepreneur sold a majority stake in his company to Live Nation Entertainment last year.
North Bay Road is among the areas in Miami Beach experiencing a surge in luxury sales in recent months. In October, the billionaire founder of Shutterstock paid $42 million for the waterfront mansion at 4358 North Bay Road, marking a record for the pricey street.
A month earlier, Menin Hospitality principal Keith Menin sold a waterfront mansion he developed at 2318 North Bay Road for $23.5 million.