Soho House & Co. refinanced its Miami Beach beachfront private members club and hotel with a $140 million loan.
JPMorgan and Citi Real Estate Funds provided a 10-year fixed-rate, interest-only mortgage on the Soho Beach House at 4385 Collins Avenue, according to a release. The Walker & Dunlop team, led by Jonathan Schwartz and Aaron Appel, secured financing on behalf of Soho House.
The loan repays existing debt, repatriated equity, and financing and closing costs, the release said. Soho House previously received a $117 million loan from Rexmark and Citigroup in 2019.
Yucaipa Companies, led by billionaire Ron Burkel, owns a majority stake in Soho House, which owns 42 hotel properties in Europe and North America, according to the company website. Soho House bought the 16-story building, formerly known as the Sovereign Hotel, in 2008 for $39 million, records show.
The Art Deco building was completed in 1940 and underwent a major renovation in 2010 designed by Miami architect Alan Schulman. Soho Beach House has 50 suites, two restaurants, a spa, screening room, pool and eighth-floor patio bar.
Last year, Soho House began making improvements to the building, including replacing the air-conditioning system, upgrading the tower’s automation system and adding a new air-quality control system, records show.
In Miami Beach’s Mid Beach neighborhood, Soho Beach House has attracted celebrity clients including Martha Stewart, Kate Hudson, Venus and Serena Williams, according to published reports. The property is adjacent to billionaire developer Jeffrey Soffer’s Fontainebleau Miami Beach resort.
There have been some significant refinancing transactions recently completed in South Florida. This month, JSB Capital Group secured a $219.9 million refinancing package for the company’s Landmark South in Doral, a 631-unit apartment complex.
Last month, a joint venture led by Related Group provided $165 million in new loans to refinance $87.5 million in mortgages for the Dorsey mixed-use project in Miami’s Wynwood neighborhood. Relatedly, Alex Karakhanian’s Lndmrk Development and Tricera Capital completed the 12-story building at 286 NW 29th Street last year.
