A joint venture between real estate investment firm Mast Capital and Koch Real Estate Investments has successfully acquired The Islands of Islamorada, a premier luxury resort in the Florida Keys. The seven-acre waterfront property, previously owned by the Frisbie Group, features a collection of private villas and hotel suites, further solidifying the new ownership’s footprint in a highly competitive hospitality market.
Key takeaways
- The acquisition was completed by a joint venture between Mast Capital and Koch Real Estate Investments.
- The resort spans seven acres and includes 22 oceanside villas and eight hotel suites.
- Ocean Sotheby’s International Realty has been appointed to manage the re-launch of villa sales, with units starting at $3.8 million.
- This purchase expands Mast Capital’s growing Florida hospitality portfolio, which already includes high-profile assets like Little Palm Island Resort & Spa.
Resort features and amenities
Located approximately 90 minutes from Miami, The Islands of Islamorada offers a refined guest experience defined by its exclusive waterfront access. The property is equipped with a comprehensive range of amenities designed for both leisure and high-end events. Guests have access to two oceanfront swimming pools, a private beach, and a fitness center, as well as two pickleball courts and playgrounds. The resort also boasts a private marina, complete with boat slips and equipment for water sports such as kayaking and sailing, catering to the region’s reputation as a top destination for coastal activities.
Strategic market expansion
The acquisition highlights a strategic move into one of the most supply-constrained hospitality markets in the United States. According to Jordan Kornberg, chief investment officer of Mast Capital, the Florida Keys continue to benefit from strong long-term demand and significant barriers to entry for new developers. By acquiring this established asset, the firm aims to leverage the property’s unique combination of luxury condo-hotel units and an irreplaceable waterfront location. Financing for the transaction was arranged by Scott Wadler of Berkadia Miami, reflecting continued lender confidence in the project’s business plan and the strength of the ownership group.
Residential sales and future outlook
Beyond its hospitality offerings, the new ownership group is prioritizing the sale of the property’s 22 waterfront villas. These fully furnished, detached residences span over 4,000 square feet and feature four bedrooms, four bathrooms, and modern smart-home technology. Built to current hurricane code standards, the villas are designed to offer both a luxury living experience and the potential for income generation through the resort’s rental program. This acquisition complements Mast Capital’s broader development pipeline, which includes several other high-profile residential and hospitality projects across South Florida.
Sources
- Mast Capital, Koch Real Estate acquire Florida Keys resort, Hotel Management.
- The Islands of Islamorada Resort acquired by Mast Capital, Boutique Hotelier USA.