DoveHill Capital Management has acquired a fee simple interest in the 221-key DoubleTree Deerfield Beach – Boca Raton in Deerfield Beach, Fla., for an undisclosed price from Vista Hospitality Group, a private owner and operator of hotels and commercial properties based in Kitchener-Waterloo, Canada. The hotel will be operated by DoveHill's associated management company, The Wurzak Hotel Group, under a franchise agreement with Hilton.
"This acquisition marks our 8th investment since 2020 and we are extremely excited to add our fourth South Florida property to our portfolio preeminent portfolio of leading full service and lifestyle oriented hotels," said Jake Wurzak, CEO of DoveHill Capital Management. "The hotel was acquired at favorable entry point at a discount to recently consummated transactions in the market. We plan to upgrade the hotel's management and engage in capital projects to enhance the guest experience including the pool, food and beverage outlets and the fitness center. The Boca Raton submarket is an incredibly high barrier to entry market with demand tailwinds which I believe will only strengthen."
The DoubleTree was renovated in 2020 and covers 6.2 acres. Hotel amenities include an on-site restaurant, parking, an outdoor heated pool, a 24-hour fitness center, pet-friendly rooms and a business center with 22,000 square feet of meeting space. The hotel is near I-95 and 25 minutes away from both the Fort Lauderdale International Airport and the Palm Beach International Airport.
Vista Hospitality Group invested more than $7 million since 2018 in capital improvements for the hotel. DoveHill plans to explore future development opportunities on vacant portions of the site.
Berkadia Hotels & Hospitality helped arranged the sale and financing for the deal. A local Florida bank originated the three-year loan with two one-year extension options.