Hospitality management company Highgate will cease operations at the Goodtime Hotel in South Miami Beach, Florida, amid the boutique property’s ongoing legal troubles.
In addition to exiting its management duties at the property, Highgate will terminate its employment of all of the hotel’s workers, which totals 114 individuals, according to a letter sent to Florida state officials in accordance with the federal Worker Adjustment and Retraining Notification Act. Highgate’s actions are set to take effect May 31, or within 14 days thereafter, per the letter.
The announcement comes as the 266-key Goodtime Hotel, which opened in April 2021 and joined Marriott’s Tribute Portfolio in late 2023, faces a $149 million foreclosure lawsuit, filed in the Miami-Dade County Circuit Court in January. The suit was brought against the property’s ownership, Washington Squared Owner LLC, by lender CMMT-JSeller2 LLC, which claims the hotel owner has defaulted on a $152 million loan that financed the project.
Washington Squared Owner LLC is controlled by New York-based hospitality developer Dreamscape Cos., while the plaintiff is an affiliate of Chicago-based commercial real estate company CIM Group, the Miami Herald reported last month.
The once-buzzy Art Deco lifestyle hotel, previously spotlighted by Architectural Digest, was initially developed in partnership with Grammy-winning musician Pharell Williams and hospitality entrepreneur David Grutman, though the pair have not been involved with the hotel since mid- to late-2024, the Miami Herald reported.
The Marriott-branded hotel is home to rooftop restaurant and bar Strawberry Moon, also managed by Highgate.
Highgate, Marriott International and Dreamscape Cos. could not be reached for comment by the time of publication, including on whether the hotel will shutter upon Highgate’s exit.
