Mogul Snaps Up Pricey Property

R. Donahue Peebles, CEO of The Peebles Corp. (No. 10 on the BE INDUSTRIAL/ SERVICE 100 list with $449.66 million in sales), plans to purchase the Key Colony Bay Hotel in Marathon, Florida, and transform it into a condo-hotel resort in which 72 multistory villas will sell for $1.7 million and up. The Peebles Corp. has a sales contract for the waterfront property at Mile Marker 54 and expects to close the deal in December.

The property was sold by the Marathon Hotel Partners for an undisclosed amount. Barron Channer, acquisitions executive with The Peebles Corp., says, “The new development is expected to cost roughly $85 million, and total revenues are expected to top $140 million.”

The Peebles Corp. has redeveloped a trove of prime real estate, including the $230 million Residences at the Bath Club and $140 million Royal Palm Hotel, both in Miami Beach, and the $53 million Courtyard by Marriott Convention Center and $112 million 10 G Street N.E. office building, both in Washington, D.C.