sbe Entertainment Group And CIM Group Sell SLS South Beach To Goldenpeaks Capital Real Estate

sbe WILL CONTINUE TO MANAGE HOTEL THROUGH 2030

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Jun 10, 2015, 09:00 ET

LOS ANGELES, June 10, 2015 /PRNewswire/ -- sbe, the Los Angeles-based creative hospitality company, and CIM Group, a leading real estate fund manager, announced today the sale of the SLS South Beach hotel to GoldenPeaks Capital Real Estate, an international real estate industry management company.

The sale price was not disclosed.

The deal underscores sbe's newly implemented growth strategy of focusing on long-term management agreements, and follows the recent sale of SLS Beverly Hills. sbe and CIM, partners in the South Beach venture, have sold the hotel as the Miami market continues to heat up.

As part of the sale, sbe will continue to operate the SLS South Beach, which includes The Bazaar by Jose Andres, Katsuya by Starck and Hyde Beach, through 2030.

"The sale of SLS South Beach represents the successful evolution of sbe," said Sam Nazarian, Chairman and CEO of sbe and its subsidiary, SLS Hotels. "As the SLS brand continues to grow, we found a great owner in GoldenPeaks Capital Real Estate, which shares our vision for this world-class property."

The 140-room SLS South Beach opened in June 2012, marking the brand's premiere on the East Coast, complete with the exclusive roster of SLS partners Philippe Starck and Chef Jose Andres, along with key collaborators Lenny Kravitz and Chef Katsuya Uechi. The property has received many accolades including being recognized among the best hotels in South Beach by US News & World Report, USA Today, Travel + Leisure and Conde Nast Traveller, among others.

With its new growth strategy, sbe is embarking on a multi-year expansion plan. Set to open in 2015 is SLS LUX at Baha Mar in Nassau, The Bahamas. There are 12 other sbe hotel properties under development, including:

SLS Park Avenue, New York is slated to open in the first quarter of 2016
SLS Hotel & Residences Brickell is slated to open in Miami in 2016
SLS LUX Hotel & Residences Brickell is slated to open in 2017
SLS Seattle is slated to open in 2017
SLS LUX Hotel & Residences Philadelphia is slated to open in 2017
Hyde Hotel & Residences Hollywood, FL is slated to open in 2017
Hyde Hotel & Residences Midtown Miami is slated to open in 2017
SLS LUX Hotel & Residences Washington DC
SLS LUX Hotel & Residences Cabo – Murano Beach
SLS LUX Hotel & Residences Cancun
SLS LUX Hotel & Residences Mexico City – Polanco
SLS LUX Hotel & Residences Puerto Vallarta
SLS Hotel & Residences Punta Mita

For more information on sbe and SLS Hotels, click here.

ABOUT sbe:

sbe is a creative hospitality company that develops, manages and operates award-winning hotels, restaurants and nightlife. Through exclusive partnerships with cultural visionaries, sbe is dedicated to delivering the best in design, culinary and entertainment. Already a proven leader in the hospitality and real estate industries, sbe has over 80 properties currently operating or in development, and has expanded several of its flagship brands including SLS Hotel & Residences, Katsuya by Starck, The Bazaar by Jose Andres, Hyde Lounge, Hyde Hotel & Residences and The Redbury, nationally and internationally. Founded in 2002 by Chairman and CEO Sam Nazarian, sbe is a privately held company. More information about sbe can be obtained at sbe.com.

ABOUT SLS SOUTH BEACH

SLS South Beach debuted in June 2012 as part of sbe's award-winning collection of hotel, restaurant and nightlife destinations nationwide. Located at the site of the former Ritz Plaza Hotel, the last historic Art Deco building of its kind on highly-coveted Collins Avenue, SLS South Beach boasts 140 exquisitely designed guest rooms and villas. The SLS debut on the East Coast unites many of sbe's most celebrated brands, including The Bazaar by Jose Andres, Katsuya by Starck and Hyde Beach. The exclusive roster of SLS South Beach collaborators includes sbe Founder, Chairman and CEO Sam Nazarian, Philippe Starck, Chef Jose Andres, Lenny Kravitz and Chef Katsuya Uechi. sbe has announced future SLS Hotels in New York City and Seattle with plans to grow internationally. For more information or reservations, please visit slssouthbeach.com

ABOUT CIM GROUP:

CIM Group is a leading real estate and infrastructure investment firm that since 1994 has systematically and successfully invested in dynamic and densely populated communities throughout North America. CIM Group draws on its experienced team of real estate, investment and finance professionals to identify and pursue investment opportunities in three primary strategic categories: repositioning and development projects in established and emerging urban areas; well-positioned operating properties in transitional and established districts; and infrastructure. CIM manages three distinct portfolios, including opportunistic, stabilized and infrastructure funds, each of which are diversified by geography and type of property within that risk profile. Headquartered in Los Angeles, CIM maintains regional offices in New York, the San Francisco Bay Area Bethesda, Maryland, and Dallas, Texas. For more information, please visit www.cimgroup.com

ABOUT GOLDENPEAKS CAPITAL REAL ESTATE

GoldenPeaks Capital Real Estate is an international investment, advisory and management company, with broad experience and expertise in different sectors and geographies.

SOURCE sbe