A legal dispute over the Kimpton Surfcomber Hotel in Miami Beach saw a major development last week when Miami-Dade Circuit Court Judge Thomas Rebull dismissed most of the claims brought by siblings Sean and Nicole Mirmelli. The pair had filed a lawsuit in May seeking to terminate a 99-year ground lease tied to one of two parcels beneath the hotel.
Judge Rebull’s decision removed four out of five counts from the Mirmellis’ complaint against Chisholm Properties South Beach, which is led by Robert Balzebre. The dismissed allegations included breach of contract, commercial eviction, and slander of title. This effectively blocked the Mirmellis’ efforts to cancel the ground lease or have a receiver appointed to manage the property at 1731 Collins Avenue, which makes up half of the hotel site. Ownership of this parcel is split equally between Chisholm and the Mirmellis’ trust.
Chisholm acquired the three-story hotel for $1.4 million in 2004, along with both land parcels involved in this case. The company assumed the ground lease for 1731 Collins Avenue at that time, enabling continued use and operation of the historic Art Deco building completed in 1948. Chisholm also owns outright an adjacent parcel at 1717 Collins Avenue.
Attorney Joseph Pardo, representing Sean and Nicole Mirmelli, responded to the ruling via email: “We believe there was an ongoing breach because the lease restrictions are covenants that run with the land.” He added that his clients will seek a rehearing “and will appeal if necessary.”
On behalf of Chisholm Properties South Beach, attorneys Abbey Kaplan and Philippe Lieberman issued a joint statement characterizing the lawsuit as “a frivolous and misguided attempt to unwind a long-standing lease.”
The original suit claimed that Chisholm breached terms of the lease by changing aspects of the building not allowed under its terms. It also alleged that Chisholm incurred liens on the property and secured an unauthorized $20.5 million loan in 2014 using both parcels as collateral.
Additionally, Sean and Nicole Mirmelli accused Chisholm of submitting mortgage documents containing an estoppel letter with what they say was a forged signature from Nicole Mirmelli. She stated in an affidavit that she did not sign it. In response, Chisholm’s attorneys said: “Our client received the fully executed Estoppel Certificate directly from the Mirmellis,” adding, “And a notary testified under oath that he personally witnessed the signing. Any alleged misdeed was attributable to the Mirmellis.”
Judge Rebull found that claims related to liens and mortgages were no longer valid due to statutes of limitations and ruled that enforcement of certain provisions required consent from both parties.
