Hersha Refis Miami Beach’s Cadillac Hotel With $232M
By Julia Echikson August 19, 2022 5:15 pmreprints
Hersha Hospitality Management refinanced Miami Beach’s Cadillac Hotel & Beach Club with $232 million from CitiBank, property records show.
The art deco-style hotel, designed by famed architect Roy France, first opened in the 1940s. Located at 3925 Collins Avenue, the oceanfront property sits along a strip of resorts in the Miami Beach neighborhood of Mid-Beach.
The new mortgage for the 14-story hotel marks Hersha’s third loan, all from CitiBank.
Shortly after acquiring the property in 2015 for $52.7 million, Hersha nabbed a $60 million loan. In 2013, the real estate trust expanded the property to add a tower next to the original building, bringing the total number of rooms to 357 and square footage to 232,618.
Four years later, Pennsylvania-based Hersha closed the hotel for a $47 million renovation, reopening it in 2019 under Marriott’s Autograph Collection, according to the Miami Herald. In 2020, following the first coronavirus-related lockdown, the owner secured $172 million in financing, per records.
Nightly rates for next December, typically the busiest month for a Miami hotel, range between $300 and $1,000.
A representative for Hersha did not immediately respond to a request for comment.
Miami’s hospitality industry is rebounding from the pandemic. More than 24,000 tourists came to Miami-Dade County in 2021, about the same as pre-pandemic levels in 2019, according to data from the county’s tourism board. The number of Miami hotel rooms booked this summer was more or less on par with the busy winter months.
The Cadillac hotel is not the only Miami hotel that nabbed a sizeable refinancing loan. Earlier this month, Jeffrey Soffer’s Fontainebleau Development secured $412.3 million for the JW Marriott Miami Turnberry Resort in Aventura.
Julia Echikson can be reached firstname.lastname@example.org.