MIAMI-New York-based developers Flag Luxury Properties has obtained $181 million in refinancing for the Ritz-Carlton, South Beach in partnership with Miami-based the Lionstone Group.
The 10-year, fixed-rate financing has a rate of 6.37%. The lenders were Credit Suisse First Boston and Barclay's. Flag Luxury Properties chairman and CEO Paul Kanavos tells GlobeSt.com that the loan was a refinancing of an existing debt. It will provide long-term financing for the property.
The 376-room Ritz Carlton, South Beach was renovated in December 2003. It was a gut renovation of the DiLido Hotel, an original 1953 Morris Lapidus-designed landmark hotel in city's Art Deco district. Flag Luxury added three floors and 80 rooms to the hotel. The property includes a $2-million original art collection, two restaurants, a 16,000-sf spa featuring La Maison de Beaute Carita, an elevated outdoor pool and 20,000 sf of meeting and conference rooms. "This is one of the best performing hotels in the Ritz-Carlton chain," Kanavos says. "It's been extremely successful and that's been endorsed by the fact that we just received this loan with very favorable terms."
In addition to the Ritz-Carlton, South Beach, Flag Luxury also owns the Ritz-Carlton Golf Club & Spa, Jupiter; Temenos Anguilla, Ferry Point Golf & Conference Center and 18.25 acres in the center of the Las Vegas Strip. "Flag Luxury is committed to building and maintaining a portfolio of the finest resort hotels and residential properties," Kanavos says. "This fixed-rate financing of the Ritz-Carlton is consistent with that business strategy."
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.