El-Ad National Properties, a real estate developer, has acquired an oceanfront hotel in Fort Lauderdale, Florida, for US$60 million, according to property records. The 99-room Sea Club Resort is located on a 1.2-acre site at 619 North Fort Lauderdale Beach Boulevard, nestled between Belmar Street and Auramar Street.
The building, which spans 54,982 square feet, dates back to 1954. The sellers, an entity associated with Rachel Levy and Michael Man, had owned the resort since 1995, acquiring it at that time for just under US$4 million. The selling entity provided US$40 million in seller financing to El-Ad National Properties, a Boca Raton-based division of Israeli billionaire Isaac Tshuva's El-Ad Group.
Potential for Redevelopment
The property is expected to undergo redevelopment. Berkadia marketed the site as “one of the last remaining oceanfront development parcels in the Fort Lauderdale area”. The current zoning for the site permits a development of 541 residential units across 246,989 square feet and a height of up to 200 feet.
An additional height of 40 feet could be granted if 60 per cent of the units serve as a hotel. However, the lobby area of the Sea Club Resort is subject to a protection agreement with the Broward Trust for Historic Preservation. This means that certain aspects of the lobby's historical character must be preserved during any redevelopment.
El-Ad’s Involvement in South Florida
El-Ad is an active developer in South Florida. Last year, the company secured an US$85 million construction loan for a mixed-use development in Davie, which will encompass 2.8 million square feet. In the same year, the luxury condominium complex Alina Residences in Boca Raton was completed. A spokesperson for El-Ad did not respond to a request for comment, nor were the sellers reachable for comment.
