Holiday Network Group Pays $27M for Miami Beach Resi Building

Holidays Network Group paid $27 million for a historic residential building in Miami Beach, with an eye toward renovating it, most likely as a hotel.

The Winter Park-based hospitality investor appears ready to reposition the 88-unit building at 2618 Collins Avenue, having secured a $35.3 million mortgage from Western Bank — about $8 million more than the total value of the sale. The five-story property, formerly known as the Prince Michael Condominium, was constructed in 1951.

In 2018, the Miami Beach Historic Preservation Board approved a $30 million plan to convert the 46,173-square-foot building into an 89-room hotel, though the property was never converted and remains residential as of today.

The sellers, investors Eli Dadon, Richard Waserstein and Avi Dishi, had paid about $10 million to buy units at the property between 2014 and 2017, paying an average of $100,000 per residence, according to The Real Deal.

A representative for Holidays Network did not immediately respond to a request for comment. A representative for the sellers could not be reached for comment.

The sale comes just five days after Kolter Hospitality and BH Group purchased a historic boutique hotel, also in Miami Beach. The joint venture paid $24 million for the 84-room Crystal Beach Suites Miami Oceanfront Hotel, located four miles north of Holidays Network’s newly acquired property.

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