After dodging a foreclosure sale last year, the Shore Club has sold for just over $175 million to owners who plan some changes at the 309-room Miami Beach hotel.
“We have an extraordinary, once-in-a-lifetime opportunity to re-imagine and reposition a world-class property in a market that has seen continued demand for luxury properties,” said Ziel Feldman, founder and managing principal of HFZ Capital Group, in a press release this week.
New York City-based HFZ acquired the hotel with an affiliate of Fortress Investment Group. Philips International, a seller, will still be involved with the new ownership group.
Three years after the lender for the hotel’s mortgage started foreclosure proceedings, the hotel at 1901 Collins Ave. was scheduled for a foreclosure sale in June. But the joint venture agreed to refinance with a new lender the day before that planned sale, according to a regulatory filing by Morgans Hotel Group Co., which manages the hotel.
That new mortgage of more than $160 million as well as a second mortgage of $12 million were assigned to the buyer. The purchase closed in late December.