Service Properties Trust, which often goes by its Nasdaq symbol SVC, acquired the 250-room Nautilus Hotel in Miami Beach, Fla., for $165.4 million or approximately $661,600 per key.
Located in Miami’s South Beach neighborhood, The Nautilus has 250 guestrooms including 55 suites, four food and beverage outlets, an outdoor pool, a spa, a fitness center and 17,500 square feet of outdoor and indoor event space.
The hotel will initially be known as the Nautilus Sonesta Miami Beach, and undergo a $25 million repositioning starting next summer with plans to reopen in early 2025 under Sonesta’s lifestyle brand, The James. The Nautilus Sonesta Miami Beach is Sonesta’s fifth property in Miami and the 43rd Sonesta Hotel & Resort location worldwide.
“The acquisition of the Nautilus Hotel provides SVC with an important entry into the South Beach market and adds another high-end destination resort hotel to our portfolio,” President and Chief Investment Officer of SVC Todd Hargreaves said in a statement. “This is an irreplaceable beachfront parcel located in the heart of Miami Beach in an area with numerous high-end luxury and upper upscale hotels. We are confident that the rebranding as a Sonesta and subsequent renovation will result in an attractive return on SVC’s investment.”
“Over the past few years, we have focused on expanding Sonesta’s presence with an upscale offering in Miami, which is a critical market for the brand and one of the world’s premier vacation destinations,” John Murray, Sonesta’s president & CEO, added. “With the Nautilus Sonesta Miami Beach, we are confident that we will provide travelers with a sophisticated and authentic Miami experience.”