The Opportunity

Gansevoort Miami Beach was one of the largest mixed-use projects in South Florida, comprised of 823 luxury residential condominium units (within two separate condominium associations), a 340-room Four-Diamond, oceanfront resort, 150,000 square feet of high-end retail space, a residential unit lease program and a complex master association when it was launched in 2008. The economic recession, housing market deterioration and other issues in the effective integration and operation of the various components of the project led to a litigious environment among the property associations, the master developer and its manager, the inability of the hotel operator to garner market share, deteriorating relations with retail tenants, below-standard guest and resident satisfaction rankings and the inability of the property to meet its financial obligations. In early 2010 Column Financial (a subsidiary of Credit Suisse Group AG), conducted a UCC foreclosure and acquired the property from the borrower. After a nation-wide search that included the top 100 resort management companies, Coral Hospitality was selected to manage the resort, retail, master association, condominium association and lease program based upon its unique experience and expertise in the integration and operation of all components in successful mixed-use properties.

The Vision

Use Coral Hospitality’s years of experience and proven methods to create a positive, integrated environment between all components of the mixed-use property, while driving positive financial results and service levels for the master developer. Coral employed a program that founded on transparency, commitment to consistency, true consideration to all parties’ interests and effective communication to foster an environment in which all parties were actively involved and invested in the success of the overall property.

The Results

Due to the concerted efforts of Coral Hospitality and the master developer, trust and working relationships were developed between the varied parties that resulted in the settling of all lawsuits and a constructive property framework, which was unthinkable prior to Coral’s involvement. These efforts also allowed the property to operate effectively and efficiently, increasing resident satisfaction, property perception and real estate values.

Coral implemented its industry-leading revenue-management techniques (ranked in Top Five REVPAR production in the country for 10+ years), redeployment of marketing resources and targeted advertising placements, decades of Florida relationships and qualified luxury traveler database, and day-to-day management of the “putting heads in beds” process to quickly garner substantial market share and increase quality top-line revenues for the property.

Coral’s Basic of Service and intensive training programs were immediately focused, resulting in better trained, empowered and actively engaged employees who provided exceptional service to residents and guests. These efforts were rewarded by the property’s increase in guest and resident satisfaction scores, Trip Advisor rankings and overall improvement in employee morale and retention.

The implementation of Coral’s proven financial controls, procedures, and methods, all of which balance a property’s vision and financial objectives, resulted in dollar maximization from Day 1. Coral’s commitment to achieving the pinnacle of first-class service delivery and industry leading financial results while understanding the interconnectivity of the two allowed Coral to maximize the bottom-line results for the Gansevoort Miami Beach.