Hollywood Beach double play: Brooklyn investor picks up two motels for $13M

Condra Property Group bought Neptune Hollywood Beach and Sun Beach Inn, with eventual redevelopment plans

Miami /
Jan.January 27, 2022 03:30 PM

Condra Property Group managing principal Mark Drachman and the Neptune Hollywood Beach and the Sun Beach Inn (LinkedIn, Google Maps)

Brooklyn-based Condra Property Group, which has an office in Miami Beach, picked up a pair of Hollywood Beach motels for a combined $12.9 million, with plans for eventual redevelopment.

The recently formed real estate investment firm, led by managing principals Mark Drachman, Ira Chaimovitz and  Allen Konstam, bought the 34-key Neptune Hollywood Beach at 2012 North Surf Road and the nine-room Sun Beach Inn at 309 Oklahoma Street, according to the buyer’s broker, Jonathan Chames with Beachfront Realty.

Danny Kennedy with Hollywood Beach Realty represented the sellers, which were two entities managed by Viktor Goldenberg of Key Biscayne. Goldenberg bought the Neptune for $8.9 million in 2019 from former Russian politician Vadim Gataullin, records show. The beachfront motel was built in 1983.

In July, Goldenberg paid $1.9 million for the Sun Beach Inn, which was completed in 1952 and is steps away from Neptune, according to records.

In an email, Chames told The Real Deal that the latest deal was off-market.

Condra was formed in May, according to Florida corporate records. A Miami Beach native, Drachman moved to New York in 2001, where he’s been working in commercial real estate ever since, according to his LinkedIn profile. He founded his own brokerage, Delmark Realty, as well as Kings Highway Development, a company focused on purchasing and renovating New York area distressed homes for resale, Drachman’s LinkedIn states.

In a statement, Drachman said Condra sees unrealized value in Hollywood Beach, and that the area is mostly underdeveloped.

In December, Condra bought a development site near the two motels for $10 million, from the former Russian politician Gataullin’s company VVG Real Estate Investments, according to published reports. In 2018, the 1.44-acre property was approved for a seven-story, 36-unit condo project called Oceanside Residences.

Condra Managing Partner Allen Konstam told TRD that the company intends to move forward with the condo project, but will change the name. He said Condra plans to redevelop the two motels and another property the firm purchased at 2007 North Ocean Drive into a larger hotel. The firm owns 25 properties in Hollywood Beach.

“We practically own that entire square block between North Ocean Drive and North Surf Road,” Konstam said. “We will purchase a couple more properties to complete our assemblage.”

Hotel deals in South Florida are gaining steam as the hospitality market continues its rebound from the impact of closures during the initial months of the pandemic in 2020. Recently, Toronto-based Palm Holdings paid $20 million for the 209-key Element Miami International Airport, and Peachtree Hotel Group bought an AC Hotel in Aventura for $49.5 million.





    Related Articles

    arrow_forward_ios
    Joseph Chetrit and the Hollywood Beach Resort (Chetrit Group, LoopNet)
    Redevelopment ploy? Chetrit buys 102 condos at aging, oceanfront Hollywood Beach Resort
    Redevelopment ploy? Chetrit buys 102 condos at aging, oceanfront Hollywood Beach Resort
    The Villa Paradiso at 1415 Collins Avenue and The Orchid House Hotel at 1350 Collins Avenue with Randall Smith of Alden Global Capital and Joe Nakash (Getty, Wikipedia)
    Boutique South Beach hotels trade amid heightened demand
    Boutique South Beach hotels trade amid heightened demand
    Michael Krymchantowski and a rendering of the Krymwood Hotel at 176 Northwest 28th Street (MKDA, Krymwood, iStock)
    Brazilian investor gets Miami board’s OK to build Wynwood hotel
    Brazilian investor gets Miami board’s OK to build Wynwood hotel
    renderings of the proposed three-tower development on the site of an existing Hyatt and the James L. Knight Center on the Miami River at 400 Southeast Second Avenue, Miami (Arquitectonica, Gencom, LinkedIn)
    Third time’s a charm? Hyatt and Gencom unveil new plan for hotel, apartments on James Knight Miami River site
    Third time’s a charm? Hyatt and Gencom unveil new plan for hotel, apartments on James Knight Miami River site
    Luna at Hollywood condominium at 3600 Van Buren Street (Apartments.com, iStock)
    Surfside investor completes $34M Hollywood bulk condo purchase
    Surfside investor completes $34M Hollywood bulk condo purchase
    Sunstone's Bryan Giglia and Douglas Pasquale with 4041 Collins Avenue (Sunstone Hotel Investors, Google Maps)
    Sunstone puts The Confidante Miami Beach under contract for $232M
    Sunstone puts The Confidante Miami Beach under contract for $232M
     EverWest Real Estate Investors’ Rick Stone with  635 Northwest Fourth Ave (LinkedIn, Loopnet)
    EverWest pays $14M for Fort Lauderdale industrial property
    EverWest pays $14M for Fort Lauderdale industrial property
    From left: Sonia Cheng, CEO at Rosewood Hotel Group; Peter Marino, principal of Peter Marino Architect; Michael Shvo, founder, chairman and CEO of SHVO; a rendering of the Raleigh development in Miami Beach (LinkedIn/Sonia Cheng, Getty Images, SHVO, iStock)
    Rosewood Hotels to brand Michael Shvo’s Raleigh development in Miami Beach
    Rosewood Hotels to brand Michael Shvo’s Raleigh development in Miami Beach
    arrow_forward_ios

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

    Loading...