Madison Capital keeps W South Beach project moving

November 2008

MIAMI— Madison Capital Management, LLC, an investment management firm specializing in niche distressed, real estate, natural resources and special situation financial assets, has stepped in the ongoing W South Beach Hotel & Residences project here by acquiring a $45-million B note loan from Hypo Real Estate Capital Corp. Developing the property are Tri Star Capital, the Related Group and Starwood Hotels & Resorts.

The loan is secured by the project, which is scheduled to be completed on time in the summer of 2009. The condo hotel will feature 419 units priced from $700,000 to more than $5 million. Unit owners will be able to place their units in a voluntary rental program. This is the first W project made up of entirely residences.

The property will additionally feature two signature restaurants; two outdoor, infinity-edge pools; a Bliss Spa; secret gardens, pool cabanas with flat-screen televisions; and a fitness center.

“The W South Beach will be a vibrant and exciting destination resort, which will further entice visitors from the United States and around the world to visit the greater Miami area,” noted Bryan Gordon, the chairman and managing director of Madison Capital.