1675-2 Loews C.W. GRIFFIN / Herald Staff
IT STARTS WITH A SHOVEL: Above, Ana Arias and fellow students from South
Pointe Elementary are ready to help the new hotel get started. Left, Loews
hotel chain president Jonathan Tisch stands on the roof of the Sony building
on Lincoln Road Mall with the ocean, and the hotel site, in the background.
KEYWORDS: OPENING
TAG: 9610032903
1 of 4, 11 Terms
mh96 MAN WITH THE MIDAS TOUCH TISCH PLANS BEACH HOTEL 09/25/1996
THE MIAMI HERALD
Copyright (c) 1996, The Miami Herald
DATE: Wednesday, September 25, 1996 EDITION: Final
SECTION: Business PAGE: 7B LENGTH: 79 lines
ILLUSTRATION: photo: Loews Hotels (n) ; chart: Loews Hotels-map location Loews
Miami Beach Hotel
SOURCE/CREDIT LINE: By DALE K. DuPONT Herald Business Writer
MAN WITH THE MIDAS TOUCH TISCH PLANS BEACH HOTEL
When his family opened the Americana -- now the Sheraton Bal Harbour -- 40
years ago, one goal was to attract the lucrative convention trade. Now,
Jonathan M. Tisch is about to launch a hotel himself, the Loews Miami Beach, a
$135 million, 800-room luxury resort tourism executives hope will breathe new
life into the convention business.
' 'It has been quite a process, " said Tisch, settling into Loews' brand new
Lincoln Road offices. And tomorrow he'll see further proof of the prize he won
over five competitors.
The Loews Hotels president and chief executive is in town for the Thursday
ground breaking of the first major hotel to be built in Miami Beach in 30
years.
A vocal proponent of the travel industry who grew up working at the
family's inns, Tisch is pleased at the public/private partnership that will
put his high-end brand name in a new market.
"We don't get involved in anything capricious, " he said. "The city
incentive was very important to creating a project that will stand out in
terms of other projects. "
Loews is putting in $40 million in equity, corporate guarantees or loans
and operating reserves. A consortium of banks, led by Bankers Trust is
providing $66 million. City incentives include the land and parking
facilities.
As soon as the building starts, Loews will work furiously to convert
700,000 tentative room nights into definite bookings. Average rates will be
$155. Occupancy the first year after the late summer 1998 opening is projected
at 70 percent, and Tisch predicts 70 percent of that will be group business.
"We're hearing tremendous excitement about the property, " Tisch said,
noting South Beach's renown. "People say, 'Gee, that's great, my group hasn't
been to Miami Beach in 15 years. ' "
Loews -- a "fast-rising boutique operator" -- could spur other
development from hoteliers who were waiting for someone else to enter the
market first, said Chase Burritt, managing director of hospitality services
for Ernst & Young Kenneth Leventhal in Miami.
''They are very, very astute investors, very cash-flow oriented investors.
When the Tisches are putting money into something, it's going to be a hit, "
said Thomas Hoens, an analyst with Fitch Investors Services.
"A company like Loews has the balance sheet to do this themselves. They
have $2 of cash for every $1 of debt. "
The Loews Corp. is a massive New York holding company whose interests
include CNA Insurance, Lorillard, the tobacco company that makes Kent, Newport
and other cigarettes, Bulova Corp. , Diamond Offshore Drilling, and 14 hotels
and resorts in the United States, Canada and Monaco.
. With assets of $65 billion, the company is controlled by the Tisch family,
which also held the biggest voting block of stock in CBS, the network
Westinghouse bought last year for $5.4 billion. CBS was headed by Jonathan
Tisch's uncle, Laurence Tisch.
The Miami Beach project is not the company's only new Florida venture. In
May, Loews and MCA announced plans for two luxury hotels at Orlando's
Universal City Resort opening in 1999.
Loews will contribute $120 million in equity in the $600 million project in
exchange for a 50 percent stake in the Orlando hotels.
Tisch was excited by the chance to develop two properties in partnership
with MCA that will be part of the expanded Orlando attraction.
Miami and Orlando are different markets, Tisch said. Here, they're selling
the beach, the appeal of South Beach, the Miami Beach Convention Center and
history, he said. In Orlando, they're selling a manmade resort.
Any trade Tisch brings will help the area's No. 1 industry. Convention
business makes up 12 percent of Dade's tourism and 10 percent of Broward's,
compared to 40 percent for most competitors.
The Miami Beach project will be developed by the Codina Group, a prominent
South Florida real estate company, and the Forest City Ratner Cos., one of the
largest public commercial developers in the United States. The Ratners also
have longstanding ties to Miami Beach. The family built the Clevelander Hotel
on Ocean Drive in 1938.
With the Loews, the Tisch family returns to the hotel business in South
Florida that started with the Dec. 1, 1956 opening of the Americana, where
Tisch learned to swim. Although there was some family interest in a property a
little farther up the coast. Tisch said his parents honeymooned at the
Hollywood Beach Hotel in 1948.
KEYWORDS: STATISTIC LOEWS HOTEL PROFILE COST MB TISCH ASSET
TAG: 9610032322
mh97 NEW 17-STORY HOTEL ON S. BEACH 11/23/1997
THE MIAMI HERALD
Copyright (c) 1997, The Miami Herald
DATE: Sunday, November 23, 1997 EDITION: Final
SECTION: Neighbors MB PAGE: 2 LENGTH: 102 lines
ILLUSTRATION: photo: Jonathan Tisch and Pat Riley and Chris Riley, Heather
Grosz and Marlene Post and Eddyse Kessler, Ken DeFilippo and Jerry Merlo and
Raymond Marin, Yvonne Gomez and Chris Perry and Susan Heyer
SOURCE/CREDIT LINE: BEA MOSS Herald Staff Writer
NEW 17-STORY HOTEL ON S. BEACH
PASSES MILESTONE IN CONSTRUCTION
Loews Hotels President and Chief Executive Officer Jonathan Tisch recently
helped with the topping off tradition of placing a tree on top of the new
17-story tower of Loews Miami Beach Hotel at Collins Avenue and 16th Street.
Joining him to mark the milestone in the project's development as it
progresses toward its October 1998 opening were former Miami Beach Mayor
Seymour Gelber , members of the City Commission and more than 200 business and
civic leaders.
During the ceremonies, Miami Heat Coach Pat Riley and his wife Chris
announced they would be co-chairmen of the benefit committee for the gala
grand opening in March 1999.
Hadassah leader
Heather Grosz of Miami Beach recently returned from Israel where she took
part in Hadassah's Young Women's Mission. Selected for her outstanding
leadership skills, Grosz joined 27 other young women from across the country
for an intensive program of seminars, study and sightseeing that examined the
social, intellectual and political issues facing Israel today.
Selected from among hundreds of nominees, Grosz, a communications
coordinator, is a member of the Or Chadash Chapter of the Greater Miami Region
of Hadassah. She serves as administrative vice president of her chapter.
Bistro opening benefit
Local dignitaries gathered at the recent opening of P.F. Chang's China
Bistro in North Miami Beach to feast on Chinese cuisine and support the
efforts of South Florida Food Recovery.
Throughout its opening week, the restaurant donated a dollar from every
check to the organization whose mission is to feed Florida's hungry and
homeless. Approximately $2,000 was raised.
Museum benefit
The 39th annual Orange Bowl Luncheon and Fashion Show in December will take
on a South Beach flair this year and feature fashions by the Lincoln Road
boutique Fashion Arena.
In years past, the fashion extravaganza has taken place at various
locations including the Radisson Mart, the Crowne Plaza and the Biltmore
Hotel, said show chairwoman Anne Cruxent of Coral Gables. This year the event,
sponsored by Ocean Drive magazine, returns to the Fontainebleau Hilton, where
it began in 1958.
The show and luncheon is the largest, all-volunteer fund-raiser for the
Miami Museum of Science and Space Transit Planetarium and averages about 800
guests each year.
A social hour starts it off at 10.30 a.m. Dec. 29, with the luncheon and
show following. Tickets range from $100 per person ringside to $65 for general
seating. Bus service aboard American Bus Lines will be available from the
museum to the Fontainebleau for $10 per person.
For more information or tickets, call 285-5500 any time.
Volunteer honors
For 23 years, the Senior Companion Program sponsored by the Miami-Dade
County Community Action Agency has provided volunteer opportunities for
seniors to assist frail elderly and adults with special needs, including those
with Alzheimer's disease.
Those volunteers will be recognized for their dedication at a luncheon in
their honor starting at 11 a.m. Dec. 2 at the Wyndham Crowne Plaza Hotel, 1601
Biscayne Blvd.
Anyone interested in finding out more about the Senior Companion Program
can call program director Cristina Oliva at 347-4851 any time.
Fund-raiser for kids
A fund-raising party to benefit the Jackson Memorial Foundation will take
place Dec. 2 at Morton's of Chicago, The Steakhouse, which recently opened a
Miami branch at 1200 Brickell Ave.
Guests will be able to sample Morton's fare, which will include hot and
cold buffet offerings.
Proceeds from the evening will help fund the expansion and modernization of
Jackson Children's Hospital at the University of Miami/Jackson Memorial
Medical Center.
Tickets for Morton's gala opening are $75. For more information or tickets,
call the foundation, 585-7260, any time.
1 of 3, 7 Terms
mh97 LOEWS HOTEL GREETS 10/29/1997
THE MIAMI HERALD
Copyright (c) 1997, The Miami Herald
DATE: Wednesday, October 29, 1997 EDITION: Final
SECTION: Business PAGE: 7B LENGTH: 111 lines
ILLUSTRATION: photo: A palm is placed on the rooftop of the Loews Hotel under
construction (a) , Jorge Gonzalez (a)
SOURCE/CREDIT LINE: By DALE K. DuPONT Herald Business Writer
MEMO: see ABOUT LOEWS at end of text
LOEWS HOTEL GREETS
MANAGER WITH MISSION
After a giant crane lifted a coconut palm atop the concrete skeleton of the
Loews Miami Beach, Jorge Gonzalez had just one year left to make sure the
800-room luxury hotel opens and operates flawlessly.
But the $135 million Loews marking a construction milestone Tuesday is more
than just a high-profile project with a boss who's good at logistics.
Gonzalez, the hotel's managing director, is easing himself into a community
that's counting on the hotel to do everything from increasing convention
business and employment to raising industry service standards. It already has
been given credit for helping spark neighborhood renovation and development
and has a healthy number of advance bookings.
"I think service is the biggest challenge we have, " Gonzalez said.
But it's nothing new to a man who spent 20 years with Hyatt before joining
Ritz-Carlton in 1992 to open its hotel in Cancun the following year.
The pitfall in opening a property the size of Loews is finding the proper
staff to run it, said Jim Hisle, managing director of the Statler Hotel at
Cornell University -- training ground for the school's renowned hospitality
program. "It will be a big reflection on how well the hotel operates and on
Miami Beach itself. "
Too often, many say, hoteliers are just looking for warm bodies to fill a
vacancy. Successful operators spend a lot of time and effort on employees.
Loews made an effort to get Gonzalez, whose Lincoln Road office gives him a
view of the Collins Avenue hotel -- though he doesn't oversee the
construction.
He was happily working at the Ritz-Carlton in Naples when he got a call
about the Loews. He wasn't interested. A week later, he got another call. He
thought about it some more.
"It's a unique project. There's no other South Beach in the United
States, " Gonzalez said. "I don't think there are many other destinations as
hot as this, business wise. "
And Gonzalez, 43, had made a reputation for him self. Raised in the hotel
business in Mexico where his father helped start Balsa Hotels, he thought
about being an architect, but dropped out after one year in college. "My true
love is the hotel business, " Gonzalez said.
He started with Hyatt as a management trainee in Houston, where he loaded
and unloaded supplies and had a chain-smoking boss with a Texas drawl so thick
he had to ask a co-worker to interpret the orders.
Other jobs with Hyatt took him from Puerto Rico to Northern California.
Then he joined Ritz-Carlton before coming to Loews a year ago.
"He's a very fair individual. Good ethics. A hard worker. He has a lot of
empathy for employees, but he also has a good business head, " said Joe
Kordsmeier, a former Hyatt executive who has known Gonzalez for more than 20
years.
Loews has a reputation for hiring well, said Kordsmeier, who's now getting
ready to reopen the Beacon Hotel in South Beach. 'They don't go after you
unless you have something on the ball. "
The project marks the return of Loews' Tisch family to South Florida, where
it opened the Americana, now the Sheraton Bal Harbour, in 1956.
Loews, a large holding company whose interests include CNA Insurance,
Lorillard Tobacco and Bulova, has 14 hotels and resorts. It also is planning
two luxury hotels in Orlando.
"Their philosophy is to become a community partner. And Jorge is a
reflection of their philosophy, " said Stu Blumberg, head of the Greater Miami
& the Beaches Hotel Association.
Gonzalez is on the boards of a number of organizations, including the state
and local hotel associations, the Greater Miami Convention & Visitors Bureau
and the Miami Beach Chamber of Commerce.
The industry is counting on the new Loews, just blocks from the Miami Beach
Convention Center, to attract big conventions.
A Loews sales staff already has started booking business: 150, 000 group
nights through the end of 1999 -- about half of what's available.
"That's excellent, " said Scott Berman, director of Coopers & Lybrand's
hospitality consulting group in Miami. And the Loews expects to run more than
60 percent full its first year.
The sales force is finding people who have never been to South Florida or
haven't been in years. "Pure fun, " Gonzalez said. "This is what South Beach
is. "
But he also knows travelers will forget the fun if they aren't treated well
at their hotel.
"Training just doesn't happen the first three days you hire somebody, " he
said. "It has to be constant. "
"An employee has to feel good about coming to work on a day-to-day
basis, " he said. Little things matter. Employee restrooms must be as clean as
those for guests.
That approach yielded a turnover rate of 30 percent at the Ritz-Carlton in
Cancun. The industry averages 46.8 percent turnover among non-management
employees and 26.8 percent for management, according to the American Hotel &
Motel Association.
Training pays off, Gonzalez said. Turnover can cost a company $5,000 to
$7,000 per employee.
"It's an industry where people move a great deal. And Loews doesn't have a
reputation for people jumping regularly, " Berman said.
The Loews is starting to hire executives. It also will participate in
initiatives designed to get people off welfare and expects to hire 25 to 50
workers through the program.
"It's a responsibility we should all have, " Gonzalez said.
noweb ABOUT LOEWS The Loews Miami Beach Hotel on Collins Avenue at 16th
Street was topped off Tuesday and is scheduled to open October 1998:
* It will open with 600 employees and hire 200 more in season.
* This is the first major hotel to be built in Miami Beach in 30 years.
* 700 rooms will be on floors four through 17 in the main building; 100
will be in the art deco St. Moritz, just to the south of the main building.
The Fontainebleau Hilton has 1,200; Loews has more rooms than the 600-plus at
Sheraton Bal Harbour, Intercontinental, Hyatt Regency and Biscayne Bay
Marriott.
* Published rates are $200-$385 but will vary.
KEYWORDS: PROFILE STATISTIC COST
CUTLINES
HARLES TRAINOR, JR. / HERALD STAFF TREE TOP: A PALM IS PLACED ON THE
ROOFTOP OF THE LOEWS HOTEL UNDER CONSTRUCTION IN MIAMI BEACH.
TAG: 9710311133
2 of 3, 22 Terms
mh97 CURRENT PROJECTS: 03/17/1997
THE MIAMI HERALD
Copyright (c) 1997, The Miami Herald
DATE: Monday, March 17, 1997 EDITION: Final
SECTION: Business Monday PAGE: 25BM LENGTH: 40 lines
SOURCE/CREDIT LINE: Herald Staff
MEMO: COVER STORY
CURRENT PROJECTS:
FROM DEVELOPING
TO LEASING, MANAGING
Some of the division to oversee the building.
* Convention hotel -- Through his relationship with the Tisch family,
Codina is co-developing and building a $135 million convention hotel for
Loew's Corp. , the first such project on Miami Beach in 30 years. The Tisches
own Loew's.
* Blue Lagoon office park -- In a deal with AMB Institutional Realty
Advisors, Codina brokered its recent sale. AMB, of San Francisco, has hired
him to manage the property, near Miami International Airport.
* Florida Schoolhouse Developers -- In one of his first endeavors with
PRT