The Dream South Beach hotel was purchased by a New York company for $70 million, a 226-percent premium over its last trade.
TBS Realty, a New York-based company managed by Rabinder Pal Singh, sold the hotel to SB Hospitality. The buyer is managed by Russell W. Rosen, an attorney with Warshaw Burstein in New York. The rooms are already subdivided into condominiums.
The deal was financed by a $40-million mortgage from Beech Tree Capital, a company based in New York and incorporated in Bulgaria.
The 108-room hotel last traded for $21.5 million in 2006. Constructed in 1939, the Art Deco hotel has a rooftop pool and lounge.
The buyer signed an operating agreement with Hampshire Hotels Management, which runs the Dream brand, to stay at the property through 2039.