JV acquires another 2 Miami hotels for $139.9M

The joint venture of Shvo, Bilgili Group and Deutsche Finance purchased another two Miami Beach, Fla., hotels, bringing its total investment in the city this year to nearly a quarter of a billion dollars. The two acquisitions, totaling $139.9 million, represent the group’s fourth and fifth joint ventures.

The group purchased the 92-room Richmond Hotel at 1757 Collins Ave., as well as the Richmond Apartments at 1757 James Ave. and the Richmond Parking Lot at 1832 James Ave., for $87.85 million from Patti and Allan Herbert. Next door, it also bought the 118-room South Seas Hotel for $52 million from Majestic Hotel Corp. Lotus Capital Partners arranged a $100 million acquisition loan from California-based Acore Capital for the two transactions.

In February, the group purchased the Raleigh Hotel for $103 million from Tommy Hilfiger and Dogus Group. Art deco architect L. Murray Dixon designed all three oceanfront properties, which together comprise three acres with 217 linear feet of beachfront.

In addition to the three Miami Beach hotels, the joint venture also bought a fully entitled residential and retail development site at 9200 Wilshire Blvd. in Beverly Hills, Calif., in May and the office portion of 685 Fifth Ave. in New York City, which will become Mandarin Oriental Residences, in 2018.

Shvo is a New York City-based real estate development company. It has been involved in the envisioning, planning, sales and marketing of more than $15 billion of real estate, spanning more than 80 million square feet. Bilgili Group is a real estate-focused Turkish conglomerate with experience in hospitality, student housing, city-center mixed-use projects, office, high end residential and other commercial properties. Deutsche Finance is a global real estate investment management firm with more than $4 billion of assets under management.