Trinity and UBS Secure $600M Refi for Diplomat Resort in South Florida

Trinity Investments and UBS have refinanced the 1,000-room Diplomat Beach Resort in Hollywood, Fla., with a $600 million loan from J.P. Morgan Chase and Citi Real Estate Funding, property records show. 

The property is one of the largest oceanfront resorts in South Florida. Located at 3555 South Ocean Drive, the 12-acre Diplomat resort features a 39-story tower, 128,300 square feet of indoor event space, and an eight-story structure with 1,507 parking spots and 52,000 square feet of retail space.

The lenders increased $452 million in outstanding debt by $148 million, bringing the total debt to $600 million, according to mortgage documents. The new mortgage — for which J.P. Morgan Chase provided $420 million and the Citi Bank affiliate funneled the remaining $180 million — is scheduled to mature in 2031. The interest-only loan was structured as a single-asset, single-borrower commercial mortgage-backed securities transaction, according to JLL, which brokered the transaction.

The outstanding debt stems from a $575 million refinancing loan issued in 2024 by Citi Real Estate Funding and German American Capital. 

Trinity Investments and Credit Suisse, before UBS bought the competing Swiss bank, purchased Diplomat for $835 million in one of the largest hospitality sales in the country since the pandemic. The ownership has spent $80 million renovating the asset, per JLL.

In 2023, the owners sold development parcels surrounding the property in transactions totaling $52 million to Related Group, Miami’s largest condominium developer, and BH Group. The developers plan to build a 38-story development with 350 condos and a 43-story condo-hotel with 500 rooms.

A representative for the Diplomat’s ownership did not immediately respond to a request for comment.

Update: The story was updated to include details from JLL.

Julia Echikson can be reached at jechikson@commercialobserver.com.