Metro Miami Hotel Sells for $40M
- May 22, 2019
Cushman & Wakefield, working on behalf of 160 Royal Palm LLC, has facilitated the disposition of The Palm House Hotel in Palm Beach, Fla., via a Section 363 bankruptcy sale. 160 Royal Palm LLC is a court-appointed receiver managed by former Delray Beach Mayor Cary Glickstein. A London + Regional Properties subsidiary purchased the asset for $39.6 million in cash, or $501,266 per unit. The acquisition marks the company’s first foray into the U.S. market.
The Palm House Hotel is located at 160 Royal Palm Way on Palm Beach Island, close to Interstate 95 and Florida’s Turnpike. The 82,648-square-foot, 79-key building was initially developed in 1961 on a nearly 1.4-acre site and expanded in 1981. In 2006, the property underwent major renovations that were stopped in 2014 due to legal entanglements. The new owner intends to restore and reposition the asset, which is currently vacant.
Cushman & Wakefield’s Robert Given, Errol Blumer, Robert Kaplan and Michael Mulkern of the South Florida multifamily team represented the seller in the deal.
Roughly 50 miles south of The Palm House, a 236-key hotel traded for $66 million last week, with HFF securing acquisition financing for the property through a top-tier CMBS lender.