Hotel Venezia sold for $ 13.4 million; investor plans continue as hotel
A Venice hotel sold to a Florida investor who plans to keep it as a hostel despite its specialization in multi-family properties.
The hotel, the Ramada by Wyndham Venice Hotel Venezia at US 41 Bypass and Albee Farm Road, was sold for $ 13.4 million.
The property was purchased as part of a 1031-swap. Thanks to this IRS rule, the buyer can avoid paying taxes on a multi-family property that they recently sold for a profit by reinvesting those new funds into the hotel.
Gabriel Shamay, a senior partner in the Fort Lauderdale office of vendor representative Marcus & Millichap, said hotel investments by specialist groups in other commercial and residential properties are increasingly common.
âAn influx of capital into the current market, coupled with a lack of available hotel inventory has allowed us to create a competitive environment and generate multiple deals for our vendor,â Shamay said in a statement.
Princess Pitts Pierre, spokesperson for Marcus & Millichap, said despite the buyer’s expertise, the buyer was not considering turning the hotel into a multi-family property.
According to Marcus & Millichap, seller 41 Bypass LLC has invested more than $ 12 million in upgrades and renovations for the hotel over the past decade.
The property features 10,000 square feet of event space, a heated outdoor swimming pool and a state-of-the-art fitness center.
David M. Greenberg, general manager of investments at Marcus & Millichap’s Fort Lauderdale office, said hotel investments in Florida come at higher prices than the company has ever seen. He said it was because of population growth and the relocation of businesses to the Sunshine State.
âWe were happy to have a successful agreement between the seller and the buyer,â he said.
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