JLL arranged the sale of The Ritz-Carlton, Sarasota (Fla.) on behalf of SLAB to Ashford Hospitality Prime, a real estate investment trust focused on investing in luxury hotels and resorts.
The property was sold for $171 million, or roughly $643,000 per key. In addition, a nearby 22-acre plot of vacant land was also sold for $9.7 million. This land is currently entitled for residential development adjacent to the hotel’s golf course. The company financed the hotel with a $100-million nonrecourse mortgage loan, and the property will continue to operate as a Ritz-Carlton hotel under a management agreement with The Ritz-Carlton Hotel Company.
Managing director Gregory Rumpel and SVP Andrew Dickey led the JLL team on the sale.
“The Ritz-Carlton, Sarasota is a well-established landmark in one of the most upscale markets in Florida. It’s solid financial track record and commanding market position provide the new ownership with an irreplaceable resort in a segment that continues to grow along with the demographics of the West Coast of Florida,” Rumpel said in a statement.
The hotel includes 266 guestrooms and 31 suites, the 27,000-square-foot Ritz-Carlton Beach Club, the 15,000-square-foot Ritz-Carlton Spa Club and the Tom Fazio-designed 18-hole Ritz-Carlton Golf Club. The Ritz-Carlton, Sarasota is recognized for its range of offerings, including a historic Tiki Bar on the sand in front of the Beach Club to one of the best upscale waterfront restaurant’s in Sarasota, Jack Dusty.
“Investor demand for luxury, beachfront resorts is peaking due to limited-to-no new supply on the horizon throughout the Florida market. We expect that investor appetite for these types of assets will continue this year creating further compression and increasing yields,” Dickey said in a statement.