CSAM and Trinity buy hotel resort in Florida
The property, acquired by a joint venture of real estate funds from Credit Suisse Asset Management and from Trinity Fund Advisors, is the Diplomat Beach Resort on the South Florida coast.
The acquisition of the Diplomat Beach Resort event and resort hotel in Hollywood is considered one of the largest hotel acquisitions in the U.S. since August 2021, Credit Suisse Asset Management (CSAM) reports. The seller is a private Brookfield real estate fund.
For the acquisition, real estate funds managed by CSAM and real estate funds managed by Trinity Fund Advisors have joined together to form a joint venture. Trinity Fund Advisors is a subsidiary of the private real estate investment company Trinity Real Estate Investments. A management agreement has been signed with the Hilton hotel group to operate the resort under the Curio Collection by Hilton, according to the new owners.
The Diplomat Beach Resort is the only oceanfront resort in South Florida. It recently underwent a $90 million renovation. The property offers more than 1,000 rooms and 20,000 square feet of meeting and event space. In addition, there are more than four acres of grounds directly on the Atlantic Ocean, eight restaurants and bars, as well as two beachfront pools and a 1,300-square-foot spa and wellness center.
Robert Rackind, global head of real estate at CSAM, said, "We view the conference hotel segment as an attractive investment proposition as Florida continues to experience strong economic growth and favorable demographics."
Sean Hehir, managing partner, president and CEO of Trinity, said they want to "develop the hotel property into the top destination in South Florida." "We have big plans for the resort," he said.
CSAM and Trinity say they want to take advantage of the recovery of the U.S. event hotel market and the strength of the local economy in Florida. Tourism in the state is recovering very quickly, so it should soon be back to pre-pandemic levels. (ah)
