Rendering of the Mandarin Oriental mixed-use project coming to Miami in 2030 Latest HITs: Big deal in Japan; big loan for Miami project; Swire adding MandarinBy Jeffrey Weinstein | July 19, 2023Share The latest global news on development, M&A and more. Big portfolio trades in Japan. Looking to capitalize on Japan’s booming tourism sector, a consortium formed by Singapore’s SC Capital Partners with Goldman Sachs Asset Management and the Abu Dhabi Investment Authority (ADIA) has acquired from Daiwa House Industry for a reported $900 million a portfolio of 27 resort hotels (7,124 rooms) in major tourist destinations across Japan. SC Capital said the investment strategy will focus on increasing top-line revenue, rebranding initiatives, improving distribution channels and refurbishments. SC Capital’s asset manager, Japan Hotel REIT Advisors, will come in to maximizing further growth of the portfolio.Big win for Miami developers. Witkoff and Monroe Capital have reportedly secured a big $430 million construction loan for their Shore Club project in Miami Beach. J.P. Morgan provided the financing for the luxury condo and resort development planned for 1901 Collins Avenue, according to a press release. The 49 luxury condos will be in a new 20-story tower and an eight-story renovated building. The condos will be part of Auberge Resorts Collection, which will operate the 75-room Auberge hotel. The project will also include a single-family beach house. The developers said they’ve secured presales for two-thirds of the units, totaling more than $550 million, since launching sales at the start of the year.Mandarin-Swire tie-up in Miami. Mandarin Oriental Hotel Group has agreed to manage a new hotel and branded residences in Brickell Key, Miami. The Mandarin Oriental, Miami and The Residences at Mandarin Oriental, Miami is being developed by Swire Properties, Mandarin Oriental's joint-venture partner at the existing Mandarin Oriental, Miami, and will form part of the One Island Drive development, consisting of two towers connected by an amenity podium. The 151-room hotel with 61 private residences, as well as 220 units at the Residences at Mandarin Orienal are projected to open in 2030.US transaction volume off YOY. The LW Hotel Advisors Q2 2023 Major U.S. Hotel Sales Survey indicated a 36% decrease in the number of sale transactions versus the same period last year, a 50% decline of total dollar volume, and a decrease in sale price per room of 4%. The list includes 84 single sale transactions over $10 million which totaled roughly $3.1 billion and included approximately 12,100 hotel rooms with an average sale price per room of $257,000. In comparison, the LWHA Q1 2023 sales data included 83 single sale transactions over $10 million which totaled nearly $3.5 billion and included approximately 12,500 hotel rooms with an average sale price per room of $279,000.Azora armed for further expansion. Madrid-based Azora Capital has launched a European multi-strategy vehicle having raised €270 million in equity commitments from a sovereign wealth fund, giving it a total investment capacity of up to €500 million. With an investment horizon of between five to 10 years, the new vehicle has been established to target a broad range of opportunities across the entire real estate sector, with a primary focus on Southern Europe and selective investment in other European countries. This is the third dedicated multi-sector strategy Azora has launched in Europe, the first being the €1.1bn Hispania SOCIMI, which it launched in 2014 and sold to Blackstone in 2018 to realize net IRR of 19%. Subsequently, Azora created a fund using capital from its own balance sheet and Azora’s principals, which is now fully invested and has already generated an average return of 23% on divestments to date. Today, this alternative investment management platform has over €6.5 billion in assets under management.SBM moves beyond Monte Carlo. Monaco’s Société des Bains de Mer is acquiring the Palace des Neiges hotel in Courchevel, France, with plans to completely refurbish the property that will mark its entrée into the Northern Alps. The acquisition is expected to be completed before the end of the first half of the 2023/2024 financial year, according to SBM. “This acquisition reflects our desire to deploy new growth drivers beyond the Principality of Monaco, while preserving the group’s DNA, with the support of the new international development department,” said the group’s new Chairman and CEO Stéphane Valeri. “As well as reaching a new target customer base, the future establishment will enable our group to extend its operational season, giving our employees new prospects throughout the year. The aim is to write a new page in the history of our company in a key center of international luxury.”Hilton adds all-inclusive. Hilton has signed a management agreement for the 540-room Hilton Cancun Mar Caribe All-Inclusive Resort in Mexico. Expected to open in November, the newly-renovated property bolsters Hilton’s all-inclusive presence in the Caribbean and Latin America, where Hilton currently has nine all-inclusive resorts. The property, formerly known as Royal Uno All-Inclusive Resort & Spa, is owned by Tortuga Resorts. This marks Hilton’s sixth all-inclusive property in Mexico and 90th overall with 25 additional hotels in various stages of development. Hilton currently has a portfolio of more than 205 hotels in CALA and a development pipeline of approximately 110 hotels in various stages of design and construction.IHG adds in KSA. IHG Hotels & Resorts has signed a franchise agreement that will see a 250-key Hotel Indigo property open in 2026 in Oxagon, a coastal industrial city in NEOM, located in the Northwest region of Saudi Arabia. IHG currently operates 37 hotels across five brands in Saudi Arabia with 31 hotels in the development pipeline set to open within the next three to five years. Last month IHG signed a management agreement to open a Hotel Indigo in Mohammed Bin Salman Non-profit City in 2025.25hours to SE Asia. Ennismore has announced a partnership with Agung Sedayu Realestat Indonesia (ASRI) to open a 345-room 25hours Hotel in Jakarta, marking the brand’s entry into Southeast Asia. Located at an integrated mixed-use development of District 8 at the city’s Sudirman CBD, the 25hours Hotel, The Oddbird Jakarta, is scheduled to open by the end of this year.Club Med growth. Club Med announced a new ski resort coming to Japan this December with the 266-room Club Med Kiroro Grand ski resort in Hokkaido. The company said it plans to expand its portfolio with three to five openings or renovations per year, including a U.S. mountain resort targeted to open in two to three years, as well as a new resort in the Caribbean in the near future.Maine resort trades. Kennebunkport, Maine-based developer Tim Harrington has acquired from Asti-Kim Corp, for a $7.75 million the Asticou Inn and Restaurant in Northeast Harbor, Maine, which will be added to his Acadia collection of hotels. Asticou Inn will remain open for the 2023 season before undergoing a restoration. Harrington also purchased in Maine the Claremont Hotel in 2020 and Salt Cottages in 2021. Harrington, owner of real estate development and management company, Atlantic Holdings, was an original founder of the 10-property Kennebunkport Resort Collection where he remains a partner.Davidson gets creative. Davidson Hospitality Group has launched DH Creative, an in-house creative agency that specializes in comprehensive brand development services and creative direction for its hotels, resorts, restaurants, bars, spas and membership clubs. The service is only being made available to existing Davidson-managed properties. Services include concepting brands, managing large-scale photo and video shoots, and aligning with partners to oversee website development.Sonder adds in NYC. Sonder Holdings has partnered with Kalimian Equities to manage and operate the newly constructed property at 139 Orchard in New York City as The Merchant. This 98-key hotel is scheduled to open in the fall of 2023. Sonder operates in 40-plus markets across 10 countries and has approximately 18,200 live and contracted units worldwide as of Q1 2023. This deal marks their sixth property in New York City.