Ladder Capital sells Witkoff’s Miami Beach hotel for $44M

Westime watches owner Jean Simonian purchased the property

Miami /
Feb.February 24, 2021 03:30 PM
Westime owner Jean Simonian and Washington Park Hotel. (Facebook via Westime and Washington Park Hotel)

Westime owner Jean Simonian and Washington Park Hotel. (Facebook via Westime and Washington Park Hotel)

 

UPDATED, March 2, 12:30 p.m.: Ladder Capital sold the Washington Park Hotel in Miami Beach for $43.8 million, after foreclosing on the property when it was owned by the Witkoff Group.

The foreclosure and subsequent sale of the hotel marks one of a few such deals in South Florida to close since the pandemic began a year ago. Many owners of leisure hotels are focused now on recovery, while properties that rely on business travel continue to struggle, brokers say.

WPH Properties LLC of Beverly Hills, California, purchased the 181-key hotel at 1050 Washington Avenue, records show. The sale was brokered by Hodges Ward Elliott brokers Max Comess, Rudy Reudelhuber and Alexandra Lalos.

The buyer is tied to an LLC owned by Jean Simonian, who owns the watch store Westime. The sale equates to $242,000 per room.

Witkoff Group, led by Steve Witkoff, purchased the Art Deco hotel from the Majestic Organization in 2013 for $25.5 million. It closed on a $45 million loan from Ladder Capital in 2016, toward the end of a major renovation of the property. Carlyle Group was a partner in the hotel with Witkoff.

Ladder filed a foreclosure lawsuit in July, seeking to collect the entire loan, along with interest and late fees. Ladder recently gained title to the property through the foreclosure, paving the way for its sale to WPH Properties, court records show.

Comess, who represented Ladder Capital in the sale, said his team received a record level of interest in the non-waterfront hotel.

“We received approximately three times the number of registrations, tours and offers that we would have otherwise expected,” Comess said. “Covid has really focused all different types of hotel investors on Florida because of Florida’s relative outperformance [of other markets] during the pandemic.”

The Washington Park Hotel was built in 1943 and includes five historic Art Deco buildings.

Simonian, the buyer, sold his two North Bay Road properties in Miami Beach last year for $44 million to Melvin Capital Management founder and former GameStop short-seller Gabe Plotkin.






    Related Articles

    arrow_forward_ios
    Joseph Beard and Apogee at 800 South Pointe Drive, Miami Beach (Google Maps)
    Westdale CEO sells Miami Beach condo for $16M
    Westdale CEO sells Miami Beach condo for $16M
    2001 Lake Avenue, Miami Beach (Google Maps)
    Private equity partner buys Sunset Islands waterfront mansion for $11M
    Private equity partner buys Sunset Islands waterfront mansion for $11M
    34 Star Island Drive (Google Maps, iStock)
    Star Island buyers flip waterfront home for $21M
    Star Island buyers flip waterfront home for $21M
    Ian Bruce Eichner and his unit
    Eichner sells his Continuum South Beach penthouse for $35M
    Eichner sells his Continuum South Beach penthouse for $35M
    The Goodtime Hotel with Pharrell Williams and (from top) David Grutman, Michael D. Fascitelli and Eric Birnbaum (Getty, Alice Gao)
    Pharrell’s Goodtime Hotel opens in Miami Beach
    Pharrell’s Goodtime Hotel opens in Miami Beach
    Troy Martin Cox and 5191 Pine Tree Drive, Miami Beach (Google Maps)
    Former biotech CEO buys waterfront home on Pine Tree Drive for $12M
    Former biotech CEO buys waterfront home on Pine Tree Drive for $12M
    Daren Metropoulos and 7815 Atlantic Way (Douglas Elliman, iStock)
    Playboy Mansion owner pays $18M for oceanfront Miami Beach home: sources
    Playboy Mansion owner pays $18M for oceanfront Miami Beach home: sources
    Maggie Cordish and Palazzo Della Luna (David x Prutting/Patrick McMullan/Getty)
    Maggie Cordish, former White House adviser, pays $7M for Fisher Island condo
    Maggie Cordish, former White House adviser, pays $7M for Fisher Island condo
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...