Development firm AB Asset Management has acquired a former Marriott hotel that's poised for at least one re-imagining in an affluent Miami suburb.

The company, which largely focuses on multifamily projects, bought the Residence Inn Coconut Grove, a 140-unit hotel at 2835 Tigertail Ave. in the Coconut Grove area, according to CoStar. AB Asset Management paid $31 million to buy the property from Philadelphia-based Hersha Hospitality Trust.

Getzy Fellig, co-founder and principal at AB Asset Management, told CoStar News in an email that AB Asset Management plans to reopen the hotel under a different hotel flag in the near future. Longer term, though, the property naturally lends itself to being redeveloped entirely, he said.

“The uniqueness of the location and property size provides multiple future opportunities,” Fellig said in an email.

The three-building hotel in Coconut Grove spans 143,133 square feet and sits on an almost 2-acre tract of land, according to CoStar research. Its amenities include a pool, laundry facilities, a fitness center and business center. The property was built in 1966 and most recently renovated in 2000, according to CoStar research.

It sits near the area's popular CocoWalk retail and dining destination and the 750,000-square-foot mixed-use Mayfair in the Grove development.

AB Asset Management, based in Miami, focuses on opportunistic and value-add acquisitions with a portfolio largely focused on multifamily projects, with other commercial properties including retail and medical offices, according to its website.

Coconut Grove, just south of downtown Miami, is largely home to wealthy residents who tend to own their properties rather than rent. The area comprises just under 2,000 apartment units, roughly 400 of which were built in the past decade, according to CoStar research. That lack of new supply could suggest just enough demand to support a new rental property, or it could nudge any residential developers to consider developing for-sale condo units in the area.

Fellig said the hotel's permanent closure was not related to the coronavirus pandemic or AB Asset Management’s acquisition of the property, but he declined to provide additional details about the decision. Marriott did not return a request for comment.

Avison Young's John K. Crotty, Michael T. Fay, David Duckworth, Brian C. de la Fé, Emily Brais and Berkley Bloodworth represented the seller.