Carey Watermark Investors, New York City, has acquired the Hawks Cay Resort in the Florida Keys.
Carey Watermark’s total investment in the property is approximately US$149.4 million, including a US$133.8 million purchase price and US$15.6 million of planned capital improvements and other acquisition-related costs.
The property will be managed by Pyramid Hotel Group.
Located on Duck Key approximately 100 mi (161 km) south of Miami, Hawks Cay includes 177 guestrooms and a resort residential management program that includes more than 250 two-, three-and four-bedroom villas. The resort also features 14,800 sq ft (1,375 sq m) of indoor meeting space, six food and beverage outlets, a private saltwater lagoon, the Calm Waters Spa, five swimming pools, an 85-slip marina, the Indies Kids’ Club, Cliff Drysdale tennis center and 10,000 sq ft (929 sq m) of retail and office space.
Capital improvement plans include the renovation of guestrooms and public spaces, the redevelopment of the marina restaurant and other enhancements to the marina area, enhancement of the pool and recreational area at the Indies Kids’ Club, complete renovation of the two penthouse suites and the creation of 16 family suites.
“Given the limited number of existing resorts and restrictions on new development, the Florida Keys is one of the strongest lodging markets in the country,” said Carey Watermark CEO Michael Medzigian. “Our acquisition of Hawks Cay is consistent with our strategy of applying our lodging investment and asset management disciplines to exceptional properties. We believe that through our planned improvements and upgrades as well as the introduction of the Pyramid Hotel Group management team, we will be able to enhance and reposition the resort, create a solid financial platform for future operations and achieve attractive risk-adjusted returns for our investors.”
