A Los Angeles-based real estate investment firm has taken control of one of South Beach's most high-profile hospitality ventures for the symbolic price of $100 — the culmination of a foreclosure process that exposed the financial fragility behind the glittering facade of Miami Beach's pandemic-era hotel boom.

How did CIM Group come to own the Goodtime Hotel?

CIM Group claimed ownership of the Goodtime Hotel at 601 Washington Avenue in Miami Beach on July 1, winning a foreclosure auction through a credit bid after having secured a $204.7 million foreclosure judgment against the property in May. Because CIM itself held the debt on the hotel, it was able to apply that outstanding balance toward the purchase rather than pay cash, resulting in the nominal $100 auction price.

  • CIM had originally extended a $152 million loan to the project.
  • The foreclosure judgment totaled more than $204 million.
  • The auction concluded with a nominal purchase price of $100.

What is the Goodtime Hotel and who was behind it?

The 266-room, seven-story hotel opened in 2021 amid considerable fanfare, riding the wave of Miami's post-lockdown hospitality surge, with Grammy-winning musician Pharrell Williams and nightlife and restaurant impresario David Grutman both involved as partners and the public faces of the brand.

  • The Goodtime Hotel is located at 601 Washington Avenue in Miami Beach.
  • The hotel blended a boutique concept with food and beverage programming.
  • Grutman had long made food and beverage programming his signature across Miami's entertainment landscape.

Why did the Goodtime Hotel end up in foreclosure?

Despite its high-profile launch, the hotel struggled to sustain financial stability in the years that followed, accumulating debt reflected in a foreclosure judgment of more than $204 million. The exact operational details behind its difficulties have not been fully disclosed.

What happens to the Goodtime Hotel now?

With the auction concluded, CIM Group transitions from lender to outright owner of the asset, now controlling a prominent Washington Avenue address at a moment when Miami Beach continues to navigate its own complicated relationship with its hotel and nightlife corridor. CIM has not publicly announced plans for the property.

  • What becomes of the Goodtime Hotel brand and its management structure remains to be seen.
  • The hotel's relationship to Grutman's broader hospitality network also remains uncertain.

The original reporting on this story was published by The Real Deal Miami.