A group of lenders led by HSBC HOLDINGS and BANK OF AMERICA are likely to take ownership of Icon Brickell, a Miami condominium and hotel complex whose residents include Jennifer Lopez, according to Jorge Perez, chairman of the Related Group, the current owner and developer of the project.

Although representatives of HSBC and BofA have declined comments, Mr. Perez stated "The negotiations are almost finished." He added that he hoped the agreement would allow the Related Group to remain the manager of the three tower luxury complex, Mr. Perez's flagship project, featuring design, decor and art by Phillipe Starck.

Mr. Perez has indicated that Related Group had invested about $1 Billion in the Icon Brickell - a staggering sum - which includes $15 million for giant statues of heads that resemble those on Easter Island. These statues greet the residents and guests as they arrive the portico of the complex. He also said the loans secured by the three buildings total around $700 million.

Mr. Perez said he "expects a friendly agreement" with the lenders but declined to say whether they would take possesion of the buildings through a foreclosure. Alternatives would include various other legal arrangements under which Related Group could pass ownership to the lenders.

Completed in 2009, pre-sales of the units began in 2006. Related said buyers placed deposits of up to 20% on most of the nearly 1800 condo units. So far, only 117 of the purchases have been completed, with more closings expected with price cuts; which today average around $419 per sq ft, a drop from the peak of $650 per sq ft. Today a typical 2 bedroom unit would cost $550,000. The decision now is rather than sell empty units in bulk to hedge fund investors at a deep discount, the lenders have elected to sell them one by one at current market prices.

It is my opinion; that the timing to purchase a condo unit; in one of the most luxurious buildings in the Brickell area of Miami - a complex which offers the finest in services and amenities - is ripe.

Posted at 12:29:45 PM

The Loews Hotel in Miami Beach, located at 1601 Collins Avenue, is one of 18 hotels in the USA and Canada, operated by the New York based company, and is arguably one of the finest hotels in Miami, with 790 rooms, including 50 luxury guest suites, 2 presidential suites, and 6 restaurants and bars.

Loews, which spent approximately $135 million on it's Miami Beach operation, before opening it's doors in 1998, recently announced a $35 million renovation, with plans to renovate all of the guest rooms, upgrade the lobby and build new retail stores. According to Loews Hotel Chief Executive Jonathan M. Tisch, the renovation is necessary to remain competitive with other luxury hotels, such as the 1,504-room Fontainebleau Miami Beach Hotel.

Tisch told the South Florida Sun-Sentinal that he expects business to increase by 10% in 2010, with an improving economy, although he admits that he is uncertain of the long term effects of the global economy on consumers. Notwithstanding, Tisch plans to open a 19th hotel in mid-town Atlanta, and is looking into buying up distressed hotel properties in popular cities like Boston, Chicago, and San Francisco.

Posted at 11:33:04 AM Miami Beach has certainly seen it's share of economic turmoil during the past few years, and on January 28, one of it's stellar hotels, The Gansevoort South, located at 2377 Collins Ave, now in the foreclosure process, is going to be auctioned to the highest bidder. The trendy 334 room hotel, owned by father and son developers William and Michael Applebaum, opened on South Beach just 2 years ago, and has become a central meeting point for celebrities, as well as Miami Beach's young, hip party people.

The Applebaums say that the hotel is making money, but the project's weak condominium sales have put the hotel in a poor financial position. A few days ago they issued a statement to the press, claiming that the hotel is "profitable, and capable of covering it's respective debt."

In addition to it's 334 hotel rooms, the Gansevoort has 259 condominium units, 63,000 square feet of shops, restaurants, and salons, and a marvelous rooftop pool. It also has an outstanding mortgage of $314,000,000. To save the hotel and condo operation, the Applebaums are attempting to buy back an $89,000,000 mezzanine loan that has been declared in default by the lender, Credit Suisse. The Applebaums are trying to avoid the end of January auction.
Posted at 11:26:36 AM

ONE Bal Harbour Introduces Executive Team Wednesday, December 09, 2009

ONE Luxury Hotels, the parent group of Bal Harbour’s oceanfront ONE Bal Harbour Resort & Spa, announced today the property’s new executive team, including Erin Hosler as General Manager/Corporate Director of Branding and Operations, Debra Klemm as Director of Sales and Marketing, and Maria Elena Armenta as Corporate Director of Marketing. ONE Bal Harbour opened summer 2009 in the former Regent Bal Harbour hotel tower, assuming the 124 rooms to deliver a true luxury travel experience to guests.

Hosler brings more than 18 years of hospitality experience to ONE Bal Harbour, with an extensive background in hotel management. Joining the team from Andre Balazs Properties, where she ran operations as the general manager for New York’s hotel QT, she has also overseen reservations, revenue, and special services at Ian Schrager’s Delano and The Shore Club hotels on Miami Beach, as well as for The Ritz-Carlton Hotel company.

Also transitioning from Andre Balazs Properties, Klemm joins ONE Bal Harbour with more than 20 years of experience in sales and marketing in South Florida. Functioning as the Regional Director of Entertainment Sales for The Standard Spa on Miami Beach and The Raleigh Hotel, her knowledge of the local and regional markets is extensive. Klemm’s professional background includes work with major brands like Island Outpost, Ian Schrager Hotels and Morgans Hotel Group, and activity in such organizations as the Florida Film Coalition, the Board of Directors of the Association of Independent Commercial Producers, and National Business Travel.

Armenta joins ONE Bal Harbour from her former post as the general manager at South Beach’s Hotel De Soleil. With more than 10 years of experience, she brings a collective expertise in management, operations, sales and marketing to the luxury property. Armenta begin her career in hospitality in New York, assisting in the transition of top real estate developer, Philips International, into Philips Hotel Group. An award-winning manager and director, she has been directly involved in the openings of The Andrews Hotel in Long Island, New York, The Bryant Park Hotel in New York, and The Shore Club in Miami Beach.

ABOUT ONE BAL HARBOUR
ONE Bal Harbour is the first luxury hotel to open in the exclusive Village of Bal Harbour in nearly a half-century. It is bordered by the Atlantic Ocean and 750-feet of pristine oceanfront complete with umbrellas, lounge chairs, water sports, and beach attendants. The 18-story tower defines curated luxury with its modern glass exteriors and portfolio of world-class amenities. There are 124 ocean-view studios and suites inclusive of terraces and semi-private elevator access. The hotel boasts an ocean-view bar, lounge, restaurant and poolside garden café. A 10,000 sq. ft. spa, state-of-the-art fitness center and spectacular swimming pool provide every kind of rejuvenation for leisure travelers. The two-story lobby, completed with Jatoba columns, leather upholstered walls and marble flooring welcomes business travelers as well as the conference and banquet facilities that accommodate up to 110 guests. ONE Bal Harbour is a combination of beautiful grounds with impeccable service offering guests the ultimate full service luxury experience.

THE LOCATION
The hotel is walking distance from the famous Bal Harbour Shops. It is 15 minutes from South Beach and Aventura Mall, 25 minutes from the Port of Miami, and 30 minutes from both the Miami and Fort Lauderdale airports and Fort Lauderdale’s Port Everglades  
Posted at 11:16:37 AM

The St. Regis Bal Harbour Resort is comprised of three 27-story towers that feature one-, two-, three- and four-bedroom luxury residences, ranging from 1,777 to 6,868 square feet. Starwood Hotels & Resorts Worldwide, Inc., one of the leading hotel and leisure companies in the world, has taken a lead role in the success of The St. Regis Bal Harbour Resort, scheduled for completion in 2011.

While most properties in the company’s portfolio are managed or franchised, Starwood is the owner and developer of The St. Regis Bal Harbour Resort, poised to redefine 21st century luxury living in South Florida, says a company spokesperson. Located on a coveted piece of oceanfront property at the northern tip of the chic enclave of Bal Harbour Village,

The St. Regis Bal Harbour Resort is comprised of three 27-story towers that feature one-, two-, three- and four-bedroom luxury residences, ranging from 1,777 to 6,868 square feet. Floor-to-ceiling windows and expansive balconies, measuring from 455 to more than 1,300 square feet, provide unparalleled views of the Atlantic Ocean and Biscayne Bay, while residents may have the option to enjoy such hotel amenities as signature butler services, pre-arrival grocery shopping, in-residence dining, chauffeur, housekeeping, and pet services. Residences are priced from $1.9 million.

“It is very exciting to see the property transform from a concrete construction project engulfed by giant cranes to a soaring, architectural masterpiece,” says Keith Fordsman, vice president of development for Starwood Vacation Ownership, Inc., a part of the Starwood hotels and resorts family overseeing development of the property. In the past few months, The St. Regis Bal Harbour Resort has continued to reach its construction milestones. Vertical construction for both the center hotel tower and private north residential tower has been completed. The third 27-story tower — the private south residential tower — has been poured up to the 20th floor and is slated to be topped off this coming February. Additionally, windows and sliding glass doors have been installed on the center hotel and north residential towers. Interior framing is more than halfway completed in the center hotel tower as well. Even the five- and six-fixture master baths are taking form as bathtubs and shower valves are mounted in the hotel. Innovative technology also plays a key role in the design of The St. Regis Bal Harbour Resort, says Fordsman. One example is its air conditioning system, that relies on chilled water instead of noisy heat pumps. The chilled water lines have already been run through the central hotel tower. “We live by construction milestones and I remain impressed by the craftsmanship and quality of work being put in place by our dedicated team of talented individuals,” says Tom C. Murphy, vice president of preconstruction services for Coastal Construction Company, contractor for The St. Regis Bal Harbour Resort. “We are working with the best in the industry and it shows by their commitment to detail and adherence to our timeline.

” Call Serge Kay at 786-512-5555 for information. Great units available!!

Posted at 6:04:54 AM

Will Real Estate Recession Be Over In 2010

The real estate market will experience growth and expansion next year according to projections from most major real estate organizations. They say "the recession will be behind us."

That is the forecasting consensus of the National Association of Realtors , National Association of Home Builders, Fannie Mae and Freddie Mac. They are all predicting solid growth in 2010, according to a study conducted by the Real Estate Economy Watch. The consensus is in sharp contrast with the market these past few years.

This year, 2009, will show about a 36% drop in residential construction (starts), and a 17% drop in new home sales. The organizations are predicting a modest increase in existing home sales next year. This year, many sales resulted from the availability of foreclosed and other distressed properties, along with low mortgage interest rates and a substantial tax credit for first time buyers. In fact, foreclosure sales accounted by about 50%of all home sales during the first quarter of this year - 33% during the second and third quarters, according to the NAR.

The organization generally agreed on their projections for next year's home sales, but differed on home prices. the group consensus pointed to existing home sales increasing by about 9.6% - that is about 5.4 million units.

Luxury homes and condos are fairing much better in the Southeast Florida market. Miami has seen a dramatic surge of sales in the last half of 2009 mainly due to price corrections closer to realistic market values. These reductions have averaged a lower selling price of 20% to 30% for top locations for beachfront or luxury single family homes communities. Cash buyers who had been waiting for the opportune timing were able to grasp these properties at the best price levels in several years. This has depleted inventories in both homes and condos, probably indicating a price rise going forward to 2010. 

Posted at 9:07:46 AM

LEHMAN AFFILIATES GET CANYON RANCH UNITS

The remaining 336 unsold condo and condo hotel units in the three tower Canyon Ranch complex in Miami Beach have been acquired by affiliates of bankrupt Lehman Brothers in a "friendly foreclosure" against its Miami developers, according to a report in The South Florida Business Journal.

The outlets reported that the units were transferred for an average of $672 a square foot for a total of $301.2 million, excluding the amount paid for additional land and common areas. No cash exchanged hands in the deal, according to the Business Journal.

The developers included North Carillon, a unit of Miami based WSG Development, and Carillon South Venture.

A friendly foreclosure, is also called a deed-in-lieu of foreclosure, refers to an arrangement in which a borrower agrees to surrender title to a lender as a way of avoiding a lengthy and expensive foreclosure process.

Posted at 8:36:16 AM