1675-3 Nautilus Hotel lj
1i
NEW ISSUE
$600,000.00
Bay Shore Corporation 8% Gold Bonds
Secured by
First M ortgage on the Nautilus Hotel
MIAMI BEACH, FLA.
Dated April 1, 1930 Due April 1, 1931-40
Issued under Indenture dated April 1, 1930, First Trust & Savings Bank, Miami,
Florida, Trustee.
Interest payable October 1 and April 1 at office of Trustee.
Redeemable at the option of the Company in whole or in part, upon thirty days'
notice, on any interest date, at 102% and accrued interest.
Coupon bonds in denominations of $500.00, registerable as to principal.
..r •�St ",-�f s1'4 - l "....e.,;'''',, ..r� t� .S 4- ' .. -',. wrrAc S^?� .'''•%.r
•t_`1 • i.4.. c r o i 0 :_s. 5 .4'"5^,,,,"11t� 'r' 4 v .�" .ly •'t',-;'''''•; -•
t'k;��j4,Y ``t.;v : z a ��.r-•`J7�' �."`q¢y,�^i4a.\''' ``.t "4. u�Y :71,741;441.'.•.‘
,,,,....,11,..: ''' 1.- : ,-.j, .,"�,!'
. ri. ..tr J
atiot' N
- .per 't 'S�4 /N
-; t;:--:--. , • ,!'5•, t X a%
+spNg.' y
'.^.:-::-4-...•:-,-1-...,.'
. . �-- - z'� � Cyt y } �y�,�-.�,J ..- i`:. itv�q. tiy�,r„—uw..�.
♦� .- si;1 .'".....a.' ,---fir rZ:'•-i y „:tiedge aif4 +It.?F -.-- ; �'
•
�, • :w. > wf" 1 Cq 'i�Yt��.ai ., .rx- ,aT. ac-f aT-' _
--
. ✓� _ `
, '
i' i. .i t' -"'J i+aP r - y- ,. ,.. -,....4,-,...............„,:,....0.,,,.......-....... ....,
THE NAUTILUS, MIAMI BEACH, FLA.
Offered by
FIRST TRUST & SAVINGS BANK
21 N. E. FIRST AVENUE
MIAMI, FLORIDA
C,
st
G L I 191-•
, z‘r,
Paul Kunschik, Esq., Vice-President of The Carl G. Fisher Properties, Miami Beach,
and Secretary-Treasurer of Bay Shore Corporation, ably summarizes the security in the
following statement regarding this issue:
"Our new issue of bonds in the aggregate principal amount of $600,000.00, secured
by a First Mortgage lien on the Nautilus Hotel, its cottage colony, bathing pool, bath
house and cabanas and all equipment, may be briefly commented upon to this effect:"
HISTORY—The Nautilus Hotel is the second major hotel development of The Carl G.
Fisher Properties at Miami Beach. It was constructed during the year 1923 and
opened for its first winter season about Jan. 1, 1924. Additions and improvements
have been made to the hotel from year to year which have insured a constantly
increasing value and revenue from operations. This hotel has grown into such pop-
ularity that it is internationally known among a clientele which cannot be surpassed
by any hostelry of its type.
MANAGEMENT—The Nautilus is under the direct supervision and management of The
Carl G. Fisher Properties, which also operates the Lincoln, the King Cole, the Fla-
mingo and the Boulevard, all at Miami Beach. Managers experienced in hotel oper-
ation, with many years of successful performance to their credit in the operation
of these hotels, and others are employed in each establishment. The Carl G. Fisher
Properties has operated its hotel properties in Miami Beach since the erection of
its first hotel, The Lincoln, in 1917, at very substantial profits. Thus it will be
observed that an efficient, highly trained organization has been developed making
possible the economical, profitable operations of all hotel properties. The Nautilus
has an annual return clientele from year to year of over 50% of capacity and con-
stantly increasing, indicating the success of the management.
PROPERTY—The Nautilus grounds comprise some 20.67 acres, including Collins Island
upon which is located the Cottage Colony of 18 villas, all on the waterfront, and
having from 3 to 5 bedrooms in each, with living room and bath, but no housekeep-
ing arrangements, all guests having meals at the hotel dining room. In the grounds
is included Johns Island, improved this past summer with bathing pool, bath house,
sand beach and 43 cabanas, at an approximate cost of $90,000.00.
The hotel proper has 189 rooms, 145 baths and 7 shops, together with two
employees dormitories, accommodating all employees. The lobby, dining room, ball
room and lounge are very large and well appointed, and furnishings and equipment
are modern and kept so by frequent replacement. The original cost of the Nautilus
property is $1,746,324.05 and after depreciation without allowing for appreciation
of land values, the cost is now carried at $1,403,865.73.
Based upon appraisal of Mr. August Geiger, Registered Architect of Miami, as
to the buildings and improvements,Mr.T. J. Walsh, of Miami, representative of Albert
s �
Pick-Barth Co., of Chicago, Ill.; Mr. C. W. Chase, Jr., well known Miami Beach
realtor, the present value of the property is:
Land ____ _.. $1,400,000.00
Buildings (replacement) 1,007,214.75
Furnishings 193,152.68
Landscaping (cost) 52,177.29
$2,652,544.72
EARNINGS—This hotel has earned a net, before deduction of depreciation, taxes and
interest of $375,355.81 since opening. The net revenue for the 1928-29 season be-
fore depreciation and interest was $127,342.77, and the earnings for the 1929-30
season before depreciation and interest are estimated to exceed $165,000.00, based
on present occupancy and reservations, indicating clearly that the interest and
amortization payments on the new issue of $600,000.00 can be met with ample
margins.
GENERAL—The stock of Bay Shore Corporation is 64% owned by Miami Beach Bay
Shore Company, which in turn is controlled by Messrs. Carl G. Fisher and Irving A.
Collins. The Miami Beach Bay Shore Company has a net worth of $5,799,126.50 as
of August 31, 1929, book value, which includes real estate carried at $1,753,801.76
based on 1919 cost, with a minimum cash value of $8,500,000.00 today, and a list
value of $17,500,000.00.
This issue is to refund bonds maturing April 1, 1930, and to reimburse the
parent company (Miami Beach Bay Shore Co.) for advances made, part of which
were used in developing swimming pool and cabana colony, cottages and other im-
provements, all of which have materially increased the earning capacity of the
property."
MORTGAGE TITLE will be insured by New York Title & Mortgage Company to the full
amount of the issue and one year's interest.
INSURANCE against loss by fire in an amount not less than 100% of the outstanding
issue, and against loss by windstorm in an amount not less than 50% of the out-
standing issue, is provided for by the trust indenture.
MATURITIES: $25,000 April 1, 1931 $ 25,000 April 1, 1932
$25,000 April 1, 1933 $ 25,000 April 1, 1934
$25,000 April 1, 1935 $ 25,000 April 1, 1936
$25,000 April 1, 1937 $ 25,000 April 1, 1938
$25,000 April 1, 1939 $375,000 April 1, 1940
The above bonds are offered subject to prior sale and allotment by us of maturities.
All subscriptions must be accompanied by cash remittance. Delivery will be when, as
and if issued and accepted by us and subject to the approval of counsel.
Priced at 100 and Interest to Yield 8%
Gti