Days Inn in Islamorada under contract: $15M
Buyer Robert Cvetkovski paid $12M for Smugglers Cove last year
September 16, 2015 03:45PMBy Ina Cordle
Days Inn Islamorada
The Days Inn and Suites Key in Islamorada is under contract for $15 million, and the buyer plans to spend millions more to renovate the oceanfront property, The Real Deal has learned.
Robert Cvetkovski, who also owns Smugglers Cove in Islamorada, told TRD that he hopes to close on the purchase within three months. He then plans to spend $5 million to renovate the rooms and upgrade the property, including bringing in a new restaurant concept.
The 48-room Days Inn, at 82749 Overseas Highway, is spread over eight buildings, from U.S. 1 to the ocean. According to Monroe County property records, its current owner, Esquire Management. purchased the property in August 1997 for $2.925 million.
Cvetkovski has been targeting hotels in the Florida Keys, with a goal to preserve mom-and-pop establishments and turn them into boutique properties, he said. “I am preserving the natural beauty of what the Keys is all about — the watersports and the outdoorsy things that people go to the Keys for,” he told TRD.
The Carlyle Group, which last year purchased such Islamorada properties as the Postcard Inn Beach Resort at Holiday Isle and the La Siesta Resort, is now “controlling the market,” he said. “I am gobbling up the little ones they didn’t get.”
In October 2014, Cvetkovski bought Smugglers Cove for $12 million. He said he invested more than $1 million to renovate the 12-room property at Mile Marker 85.
“Every room was renovated, the property was completely renovated, a beach area was added, the restaurant and tiki bar were renovated,” he told TRD. “And since then I have been holding 100 percent occupancy.”
The property is on the bay side, by Snake Creek. “It’s on its own island, so people love the fact that you’re on this island with so many components,” Cveetkovski said.
In addition to the hotel, Smugglers Cove includes the Wheelhouse restaurant, the tiki bar Buoy Bar, an 80-slip marina and fuel station for boats.
Source: The Real Deal