Boutique Miami Beach Hotel Sells for $27M to New York Investor
By Julia Echikson February 12, 2023 1:42 pmreprints
Blue Suede Hospitality Group paid $26.5 million for a historic Miami Beach hotel, property records show.
The property, South Beach Plaza Hotel, includes 79 rooms between two buildings, both of which were built in the 1930s. Located at 1401 Collins Avenue, the 32,331-square-foot property faces 14th Street, just two blocks from Lummus Park and the ocean.
A nightly stay at the Art Deco-style establishment this month costs about $100.
The boutique hotel more than doubled in value from its last trade in 2009 when the sellers — Fahr Juneja, Abdul Buridi, Naveed Chowan and Arif Butt — paid $12.3 million.
Led by Kenny Lipschutz, New York-based Blue Suede owns properties in Memphis and Ann Arbor, Mich. A representative for the company did not immediately respond to a request for comment, while the sellers could not be reached for comment.
The South Beach purchase follows several big-ticket hotel sales in South Florida. Last week, Trinity Investments and Credit Suisse Asset Management bought the 1,000-room Diplomat Beach Resort for $835 million, making it South Florida’s largest hospitality acquisition since 2019.
Later that week, MCR purchased a 508-room Hilton near Miami International Airport for $118.25 million.
In September, two historic Miami Beach hotels similar to the South Beach Plaza — the 96-room Hilton Garden at 2940 Collins Avenue and the 110-room Red South Beach Hotel at 3010 Collins Avenue — sold for $28 million and $33 million, respectively.
Julia Echikson can be reached at email@example.com.