News | November 14, 2011

Coral Gables and Biltmore to Settle Rent Dispute

News | November 14, 2011

Though the details are still being fine-tuned, the city of Coral Gables and the Biltmore Hotel have reached a deal regarding their ongoing rent dispute.  Coral Gables and Seaway Corp., the operator of the Biltmore Hotel have agreed over a general outline of a deal in which the operator would repay taxpayers overdue rent for the historic city-owned hotel.

The hotel is owned by the city and is a federal landmark. Thus, the operator is required to pay rent–which has been withheld since April 2009. As part of the plan-in-progress, Seaway, would once again commence paying rent to the city, with base rent at about $800,000 per month. Seaway would also be liable for overdue rent–in the amount totaling $5.5 million, according to the city and about $650,000 in unpaid golf management fees. Seaway has argued that the city should reinvest the $17.5 million it has received in rent since 1992, but no settlement to that dispute seems to be underway.

Source: Miami Herald

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