Consortium grabs Holiday Isle for $98 mn

Investcorp and Ceebraid-Signal Corporation have announced the acquisition of Holiday
Isle, an existing 151- room hotel and marina complex located on Islamorada
in the Florida Keys.The 12.5-acre property, which has been purchased for
approximately $98 million, will be redeveloped into a luxury condominium
hotel and marina resort.
  The Holiday Isle property is located on Windley Key in the Village of
Islamorada, Florida, approximately 77 miles south of Miami and 83 miles
north of Key West. The existing hotel and retail facilities, which were
built in stages between 1954 and 1976, will be replaced with a newly
constructed condominium hotel project featuring 151 condo units of
approximately 1,250 square feet each. The redevelopment will also include
ancillary retail, restaurant, bar, lobby, and spa areas, a marina facility,
tennis courts, and a resort pool.
  Holiday Isle is the fifth joint investment by Investcorp and Ceebraid-
Signal. In July 2005, Investcorp and Ceebraid-Signal acquired the
Gulfstream, a historic landmark hotel in Lake Worth, Florida, for $13
million. Ceebraid- Signal is renovating the interiors of the Gulfstream,
transforming the popular Lake Worth landmark into a distinctive boutique
luxury hotel. Separately, in October 2005, Investcorp and Ceebraid-Signal
acquired the Palm Beach Hilton in Palm Beach, Florida for $42 million,
renaming the property the Ocean Club Beach Resort. Investcorp and
Ceebraid-Signal have commenced renovations to the property in order to
transform the property into a premier condominium hotel.
  John Fraser, co-head of Investcorp Real Estate, said, “We are very
excited to create a new value-generation opportunity for our clients by
partnering again with Ceebraid-Signal in the development of a luxury
condominium hotel and resort property. The Keys are extremely attractive to
vacationers for their unique offering of year-round sporting activity, and
the project will seek to satisfy a small portion of the largely unsatisfied
demand for quality, high-end product in the area. We believe the new
property will stand among the Florida Keys’ top resorts once the
development is completed.”
  Adam Schlesinger, President of Ceebraid-Signal, said, “The acquisition
of the Holiday Isle Resort is commensurate with our commitment to and
investment in South Florida. Our proven reputation of successfully
developing, renovating and repositioning luxury properties throughout the
United States and affiliations with prestigious real estate companies such
as Investcorp will maximize the property’s value as a real estate asset and
will enhance the resort’s reputation as a Florida Keys destination.”