HoJo On Collins Avenue Sells For $65 Million
Dezer Properties LLC sold the Howard Johnson Plaza Dezerland Beach & Spa in Miami Beach to an affiliate of Miami-based Terra Group for $65 million.
Dezer, represented by Arnstein & Lehr partners David Shear and Lori Hartglass, closed the transaction Friday.
Shear said it was a cash transaction, and the buyer obtained private financing with no commercial bank involved.
"I believe (Terra Group's) intent is to substantially renovate the property at some point. For now, they're going to continue to operate it as a Howard Johnson," Shear said.
He added that Arnstein & Lehr has a longstanding relationship with the Dezer family, "and are pleased we were able to assist their company in the sale of this historic vacation resort," Shear said.
He said the buyer and seller knew each other as South Florida developers, but this was their first joint transaction.
Dezer bought the 225-room hotel on 1.7 acres more than 15 years ago. The beachfront property was on the market for about a year and attracted interest from numerous prospective buyers, Shear said.
The nine-story, 159,420-square-foot hotel at 8701 Collins Ave. was built in 1951 north of the city's North Shore Open Space Park. The hotel is known for its 1950s retro decor, with such features as classic 1950s cars, neon signs and life-size statues of Elvis Presley and Marilyn Monroe.
New York-based Dezer Properties is developing the Trump Grande Ocean Resort & Residences in Sunny Isles Beach.
Terra Group had no comment by deadline.
Shear and Hartglass also represented Dezer in the September acquisition of a $214 million construction loan for the 60-story Porsche Design Tower, also in Sunny Isles Beach.