At one of Florida’s largest land sales in years, Miami based Fortune International Realty and Sonesta International Hotels Corporation of Boston sold a 10.3 acre site for $7.5M per acre or $1,738 per square foot to Argentine Developer Consultatio S.A. in what was previously ready for a 300 room eight story Sonesta Beach Resort. This superior oceanfront land sale located in Key Biscayne, contains over 500 linear feet of coastline. This reinforces how the International community views greater Miami as a very strong venue for long term real estate investments. It also shows the direction the Miami real estate has gone over the last 4 years as in 2005, this 37 year old property at Key Biscayne, FL, carried a $120 million price tag for a 35% discount.
Regarding Fortunes misfortunes, the third largest developer in South Florida is suing the insurance company (Allianz Global Risk Insurance Co.) of Jade Beach Condos for the fire on the 39th floor which caused a 104 day delay as per Fortune Beach LLC. Allianz Global claims the fire related problems only made up for 12 days delay. As a result, Allianz paid Fortune only $522,156 which is significantly less than what was expected.
Fortune was the third-largest residential developer in the South Florida Business Journal’s 2009 Book of Lists, with $563 million in sales for 2007, trailing only the Related Groupand Lennar Corp. Its other projects include Jade at Brickell Bay and Jade Ocean. – Triangle Business Journal
Click here to read the lawsuit.
In another setback, Defortuna of the Fortune Empire, is named in a $67 million foreclosure lawsuit against the former 12 story Seville Hotel South Beach, which he had hoped to also redevelop. The three acre, 278,547 square foot hotel at 2901 Collins Avenue, was purchased for $25 million by 2901 Beach Ventures in 2005. According to Fortune International’s Website, the Ritz-Carlton Residences and Club was to have 89 units completed in 2010. The property’s mortgage balance is $56 million.
And lastly, everyone wants to know what will come of JADE Ocean from Corus bank troubles…
I foresee Fortune International holding strong as this market begins to show obvious signs of improvement. Fortune International’s last published sales volume was $563 million in 2007 so I believe he’s playing his hand in the real world of Miami monopoly. To be continued…