In a dramatic week for CGI Merchant Group, the Miami-based investment firm has faced significant setbacks in its real estate holdings, highlighted by the foreclosure auction of the Gabriel Miami Downtown. This loss comes on the heels of CGI’s previous foreclosure of the Waldorf Astoria in Washington, D.C., intensifying the firm’s challenges in a turbulent financial environment.
Foreclosure Hits for CGI Merchant Group
The Gabriel Miami Downtown, a prominent hotel located at 1100 Biscayne Boulevard, was recently auctioned off in a Uniform Commercial Code (UCC) foreclosure sale. The property was acquired by an affiliate of Madison Realty Capital. This development marks CGI Merchant Group’s second major loss within a week, reflecting broader struggles amidst high interest rates and escalating insurance premiums.
CGI Merchant Group had been battling foreclosure across three of its significant hotel properties this year, and the Gabriel’s foreclosure adds to the firm’s mounting troubles. Despite these setbacks, CGI remains determined to reclaim its assets. A spokesperson from the firm shared that efforts were underway to negotiate with Madison Realty Capital to prevent the auction, though these attempts fell short. “We are still in close communication with Madison and working towards a resolution,” the spokesperson explained.