Billionaire real estate moguls Teddy Sagi and Jorge Pérez have selected their second South Florida property to invest in: the long-shuttered White House Inn at the entrance to North Miami, The Real Deal has learned.
Pérez’s Related Group and Sagi’s LabTech Investments Limited are partnering to acquire the waterfront property at 2305 Northeast 123rd Street, along with BH Group, the companies said. The partners plan to redevelop the 1-acre property into a luxury condo project that will cost about $85 million to build, a spokesperson said.
The $11 million sale is expected to close early next week.
A company led by Murgado Automotive Group owner Mario Murgado sold the North Miami property. Murgado was able to upzone the site in 2018 when he secured approval to build Biscayne Harbour, an 11-story, 52-unit development that was never built. Murgado’s MAR 2305 NE 123rd Street LLC paid $7.8 million for the property in 2014.
An Avison Young team led by Michael Fay and John Crotty are representing the seller.
Murgado owns 18 dealerships in Florida, New Jersey and Illinois including Brickell Motors. He was not immediately available for comment.
Jon Paul Pérez, president of Related, said in a statement the White House Inn property is “one of those rare bayfront sites that’s gone underutilized for far too long,” and that the partnership plans to give North Miami “the entrance it deserves.”
The two-story hotel was built in 1969 and includes about 50 rooms.
Sagi teamed up with Related and BH Group to invest in developer Michael Masanoff’s Transit Village, a $500 million, 10-acre project in West Palm Beach. The development, on the western side of downtown West Palm Beach, has been planned for more than 20 years.
Sagi founded the Cyprus-based gambling software developer Playtech and owns a portfolio of real estate in London through LabTech Investments, including the Camden Market in London. Forbes pegs his net worth at about $5.6 billion. His family office, Globe Invest, invests in software, technology companies, financial services and real estate, including the Transit Village project.
Miami-based Related is one of the largest developers in South Florida and has been expanding nationally in recent years. Pérez’s net worth is pegged at about $1.7 billion, according to Forbes. His son, Jon Paul Pérez, became president of the company last year.