A historic Miami Beach hotel undergoing a $125.5 million transformation into an 89-key luxury boutique property with a target 2027 opening has locked in $75.1 million in mid-construction financing. The Monroe Hotel, rising at 3010 Collins Avenue in the Faena District, is being repositioned with amenities that include a rooftop bar, a full-service spa and even an in-house recording studio.
The recapitalization was arranged by IPA Capital Markets, a division of Marcus & Millichap, according to the firm's announcement. Managing director Bobby Werhane led the deal on behalf of the property's ownership group, with support from senior director Scott Raasch; both are based out of IPA Capital Markets' Charlotte office. Werhane called the transaction complex and multisourced, saying it “required creativity and strong relationships across the capital stack.”
The capital stack itself drew from four separate sources. City National Bank provided $24.8 million in construction debt, while Nuveen Green Capital contributed $44 million through Commercial Property Assessed Clean Energy, or C-PACE, financing — a tool that lets Florida property owners fund energy-efficiency and hurricane-resiliency upgrades through long-term tax assessments. PNC Bank supplied historic tax credit equity financing, and Midland States Bank rounded out the package with $6.3 million in bridge financing. The deal marked two new lending relationships for the project's sponsor.
A Boom in Green Financing Along Collins Avenue
The Nuveen Green Capital piece of the deal reflects a broader surge in this type of financing nationally. Total U.S. C-PACE originations hit $1.56 billion in the first half of 2026, more than double the $754 million recorded over the same period in 2025, according to Multi-Housing News. Florida has authorized the program specifically to help owners pay for resiliency upgrades in a state increasingly exposed to hurricane risk.
The Monroe's history stretches back to 1939, when the Moderne-style building was built and was known in a past life as Munroe Towers, designed by architect T. Hunter Henderson — who also designed South Beach's landmark Hotel Astor in 1936, per The Real Deal. The property later operated as the Villa Capri All Suites Hotel & Beach Club before becoming the Red South Beach Hotel, and it now operates as The Monroe Hotel. The building is within the Collins Waterfront Architectural District.
From a $33 Million Purchase to a $125.5 Million Rebuild
The property's current ownership, a joint venture of Assouline Capital and Busch Real Estate, acquired the then-110-room hotel for $33 million in September 2022, or roughly $300,000 per key, with $31 million in acquisition debt from MSD Partners, The Real Deal reported at the time. The seller was 3010 Collins LLC, an entity led by French developer Simon Nemni, who had purchased the property in 2009 for $9 million. Busch Real Estate is led by August “Gussie” Busch, a former University of Alabama football player and great-great-grandson of Anheuser-Busch co-founder Adolphus Busch; the 2022 deal was described as the first of many Miami Beach investments for Busch and Assouline.
By October 2024, the developers had obtained a $49 million loan from Goldman Sachs to fund redevelopment, per Bisnow, with that deal arranged by Newmark brokers. The property was identified at the time as a 97-key hotel.
What The 89-Key Property Will Include
Once complete, the Monroe Hotel will feature 15 suites ranging from 488-square-foot junior suites up to a 1,257-square-foot presidential suite, according to the Business Wire announcement. The property will also include a 5,000-square-foot full-service restaurant and bar, a pool and deck with outdoor dining, a full-service spa and fitness center, and a rooftop bar and event venue offering panoramic views of the surrounding district.
Guests will have access to private beach service through Boucher Brothers Property Management.
The Faena District's Pull on Institutional Capital
The Faena District, located about a 10-minute walk north of South Beach, was officially designated in 2014 as one of Miami Beach's most coveted cultural destinations, known for its mix of ultraluxury hotels, upscale residences, and a thriving arts and fashion scene. The Faena District Overlay was designated in 2014, according to the Miami Design Preservation League.
The Monroe's recapitalization arrives amid heavy capital deployment across Mid-Beach's historic hotel corridor. Nearby, Casa Cipriani secured $105M in refinancing in April to advance its 19-story hotel and condo project at 3611 Collins Avenue, which is replacing two older hotels with 36 luxury rooms and 23 residences. The Monroe is also undergoing a historic hotel conversion.
Marcus & Millichap, the parent firm behind IPA Capital Markets, posted $50.8 billion in sales volume in 2025 and closed 8,818 transactions that year across more than 80 offices with 1,808 investment sales and financing professionals, according to the company's year-end figures. IPA Capital Markets specializes in arranging debt, mezzanine financing, preferred and joint venture equity, and sponsor equity for institutional and private clients. Construction continues as the Monroe works toward its 2027 opening target.
