NEW SHOREHAM – The Gables Inn and The Surf Hotel have been bought by 32 Dodge Street Block Island OpCo LLC and will be renovated into one property, called the Block Island Beach House, according to Bank Rhode Island Monday.
BankRI provided the financing for the acquisition and renovation of the properties.
The new hotel will be managed by Lark Hotels, which already operates The Attwater and Gilded in Newport. The company operates more than 20 hotels in the United States.
The development team is being led by Lark Hotel CEO Robert Blood and real estate developer Richard Cooper, BankRI said.
The LLC behind the Block Island Beach House project was founded by Blood, according to state records.
Once complete, the combined property will feature 76 units, including 27 new units in both buildings and 49 renovated units. The project will also include the installation of a new pool at the Gables Inn property. The Surf Hotel building will feature a full-service dining room and maintain a private beach.
Newport Collaborative Architects and Parker Construction are orchestrating the design and construction, according to a spokeswoman for NCA.
The property at 32 Dodge St., the Surf Hotel property, was bought at a purchase price of $5.3 million on Feb. 5, according to property records. It was last assessed at $3.9 million and was owned by ULBE LLC.
The property at 54 Dodge St., the Gables Inn property, was purchased by 32 Dodge Street Block Island OpCo for $1.8 million, also on Feb. 5. The property was last assessed at $1.6 million and was owned by Stanley and Barbara Nyzio, according to property records.
The two properties stand roughly 500 feet apart. Lark Hotels projects the project to open by summer 2019, according to its website.
Bank RI said that it provided $12.5 million in financing for the acquisition and renovation of the two buildings.
“This is an exciting project that will help to fuel Block Island’s economy, particularly with increasing occupancy where demand often exceeds capacity during the tourist season,” stated Jane Long, assistant vice president of commercial real estate for BankRI, who facilitated the financing deal on the bank’s behalf. “The renovation of these properties will make them the most upscale hotels on the island and will allow the owners to expand the number of days opened – we look forward to seeing our client’s vision come to life.”
Chris Bergenheim is the PBN web editor. Email him at Bergenheim@PBN.com.
