CGI Merchant Group Buys Oceanfront Celino South Beach Hotel – Commercial Observer
CGI Merchant Team acquired the Celino South Beach, an Artwork Deco-model resort on Miami’s iconic Ocean Travel, as aspect of a $650 million hospitality investment fund that the firm released in 2020.
The four-making sophisticated, found alongside the beach front at 640 Ocean Push, sits on the southern conclusion of Miami Beach in between 6th and 7th streets, facing Lummus Park. The home retains 132 rooms and a pool.
The acquisition will come as COVID-19 cases surge in Florida, which could batter the state’s hospitality sector. Previous 7 days, 110,477 analyzed optimistic for the virus, according to knowledge from Florida’s overall health office. And, 1 in 3 cases nationwide happened in Florida and Texas, explained White Residence COVID-19 response coordinator Jeffrey Zients.
But, CGI Service provider Group’s CEO and founder, Raoul Thomas, is not perspiring it. The pandemic “pulled the rug underneath the floor” of the hospitality sector, he stated. “We’re using a pretty long see on the restoration.” Thomas expects the marketplace to recuperate by 2024.
Even so, the Celino will reopen this coming slide as a Gabriel lodge beneath Hilton‘s Curio Selection manufacturer, in accordance to information and facts from CGI Service provider. The deal will make CGI the operator of the longest professional residence on Ocean Generate. (Thomas declined to disclose the sale price tag.)
The sellers, Park Central Associates and Synergy 8, procured the house for $34 million in 2013, data show. Beneath their earlier proprietors, the resort complex underwent important renovations, but never ever reopened, Thomas reported.
This offer marks the most current acquisition by the firm’s CGI Hospitality Opportunity Fund I, which introduced late last yr. The $650 million fund, which counts baseball legend Alex Rodriguez as an investor and companion, is aiming to acquire 20 hotels in significant city regions across the region and the Caribbean. All belongings acquired or created by the fund will be component of Hilton’s portfolio of lodges.
Final month, CGI opened another Gabriel hotel in Miami’s Downtown region, just after purchasing the house for $19.5 million in 2013, per assets records. Just after renovating the hotel, CGI sold the resort to the fund, according to Thomas.
Established in 2006, Miami-based mostly CGI Merchant Team owns office structures at 550 Biltmore Way and 55 Miracle Mile, both in Coral Gables, as effectively as Coconut Grove’s 3480 Key Freeway.
Julie Echikson can be reached at [email protected].