The resort portion of an oceanfront condo-hotel in Sunny Isles Beach is under new ownership after Mast Capital sold it to a real estate private equity firm.
Miami-based Mast Capital, led by CEO Camilo Miguel Jr., sold the 249-key Solé Miami, a Noble House Resort, to South Street Partners for between $20 million and $25 million, according to a source familiar with the deal. That breaks down to a price per key of $80,300 to $100,400.
The 24-story hotel at 17315 Collins Avenue last sold for nearly $4.9 million in 2021, records show. That reflects a gain of 308 percent to 410 percent over five years.
Berkadia’s Christian Charre and Paul Weimer represented Mast Capital in the deal, and the broker representing South Street was not disclosed.
South Street specializes in renovating beach resort properties, and it plans to upgrade Solé Miami’s guest rooms and common areas, among other property improvements.
The Sunny Isles submarket is one of the highest growth markets in Florida, based on revenue per available room, said Peter Lunenburg, principal of South Street.
Jordan Kornberg, Chief Investment Officer of Mast Capital, said in a statement that the sale is reflective of the hospitality industry’s “strong long-term fundamentals” particularly in beachfront submarkets like Sunny Isles Beach.
The acquisition builds on South Street’s hospitality portfolio in high-growth, Southeastern markets. In Florida, South Street owns the Naples Grande Beach Resort and Sawgrass Marriott Golf Resort & Spa in Ponte Vedra Beach.
Designed by Kobi Karp Architecture & Interior Design and developed by Feeley Group, Solé Miami debuted in 2007 as Solé on the Ocean. The property came under the management of Noble House Hotels & Resorts in 2017, and it was renovated in 2019.
The resort’s guestrooms overlook the Atlantic Ocean or Intracoastal Waterway. It has five indoor and four outdoor meeting and event venues, with event space totaling about 6,500 square feet. Amenities include four food-and-beverage concepts and a market, a fitness center and an oceanfront pool with private beach service and beachfront fire pits.
The Solé Condominium Association sued the hotel’s ownership entities in 2023, alleging the hotel operators improperly structured and managed the condo-hotel arrangement at Solé Miami.
The association alleged the operators designated the hotel’s hallways, lobby, elevators and parking as part of an “easement parcel” controlled by the hotel ownership rather than condo common areas. That arrangement allegedly allowed the hotel to charge residential owners for maintenance and hotel-related expenses, limit owners’ access to certain parts of the property and operate in violation of Florida condominium law, according to the lawsuit.
The hotel’s ownership argued the lawsuit sought to overhaul the condo-hotel’s legal and financial structure more than 16 years after the governing documents were put in place.
The owners maintained that the condominium declaration and easement agreement complied with Florida law, that several of the association’s claims were either time-barred or unsupported, and that the expense-sharing and operational arrangements challenged in the lawsuit were authorized under the property’s governing documents.
The association withdrew the lawsuit last July, before the case was scheduled to go to trial.