Affiliates of Gencom have reacquired a majority interest the 115-key The Ritz-Carlton Coconut Grove in Miami. A Gencom-led joint venture originally acquired The Ritz-Carlton Coconut Grove back in 2011 and sold a majority stake on the property to Hersha Hospitality Trust in 2017. The new acquisition transaction was financed by Banco Inbursa, an international financial institution, for an undisclosed amount. Other terms and conditions were not disclosed.
“The Ritz-Carlton Coconut Grove has always been a special property for Gencom, reflected by our history with the asset and Coconut Grove’s timeless appeal,” Gencom Founder Karim Alibhai said in a statement. “Reacquiring a majority stake aligns with our strategy of investing in high-quality assets in markets with strong fundamentals. We see significant opportunity to build on the property’s legacy and exceptional brand by creating value through disciplined investment and asset management.”
The Ritz-Carlton Coconut Grove property first opened in 2002 in Miami’s historic Coconut Grove neighborhood. In addition to the hotel’s 115 guestrooms, the Ritz-Carlton property has more than 30,000 square feet of flexible indoor and outdoor meeting space, a swimming pool, poolside restaurant, boutique spa and salon, and a fitness center. The 21-story upscale hotel underwent its latest renovation in 2018. The upgrades included renovating the guestrooms and suites, the lobby, swimming pool, and food and beverage spaces that led to the opening of Isabelle’s Coconut Grove and The Commodore cocktail bar.
“This acquisition reflects our long-term conviction in Miami’s lodging fundamentals and the sustained strength of its local economy,” said Alessandro Colantonio, chief investmentofficer at Gencom. “Having previously owned The Ritz-Carlton Coconut Grove, we recognize the enduring value of the asset and the importance of Coconut Grove as one of Miami’s most established and in-demand submarkets for both leisure and business travel. Regaining a majority ownership in this iconic property enables us to further scale our hospitality platform in Miami, one of North America’s most compelling and resilient tourism markets.”
Gencom’s Miami holdings include the recently reopened Ritz-Carlton Key Biscayne, Miami following a $100 million renovation and Miami Riverbridge, a privately funded mixed-use development planned along the Miami River, reinforcing the firm’s long-term conviction in the city’s growth and waterfront revitalization. The company’s branded hotel portfolio also includes other Marriott Hotels brands such as The Ritz-Carlton Bachelor Gulch; The Ritz-Carlton Philadelphia; The Ritz-Carlton New Orleans; The St. Regis Chicago; and Nekajui, a Ritz-Carlton Reserve; in addition to other five-star flags such as Auberge, Four Seasons, Rosewood, Fairmont, Hyatt, InterContinental and others.