Legal Battle Erupts Over Miami Beach’s Kimpton Surfcomber Hotel

Family vs. Developer

A legal fight is brewing over the Kimpton Surfcomber Hotel, according to The Real Deal.

Sean and Nicole Mirmelli, as trustees of a family trust, are suing Chisholm Properties. They claim Chisholm violated a 99-year ground lease.

The Mirmellis want a court to cancel the lease. They are also seeking over $20.5M in damages. The lawsuit alleges Chisholm took a loan without their consent.

A High-Stakes Legal Fight

A family dispute over land ownership and financial dealings is threatening operations at the Kimpton Surfcomber Hotel in Miami Beach. Siblings Sean and Nicole Mirmelli have filed a lawsuit in Miami-Dade Circuit Court against Chisholm Properties South Beach, accusing the firm of violating a 99-year ground lease on part of the hotel’s land at 1731 Collins Avenue.

The Mirmellis, who own a 50% stake in that parcel, allege that Chisholm took out a $20.5M loan in 2014—securing the entire hotel site as collateral—without their knowledge or consent. They claim a key estoppel letter in the deal was forged.

Who Owns What?

The Surfcomber Hotel sits on two parcels:

• The 1731 Collins Avenue lot, where the Mirmellis and Chisholm each own 50%.
• The 1717 Collins Avenue lot, fully owned by Chisholm, which also owns the hotel building itself.

The dispute centers on the 1731 Collins Avenue land, which has been under a long-term lease since 1948.

Allegations & Legal Claims

The Mirmellis argue that Chisholm’s mortgage—granted by Bank of America—has created a legal cloud over their title, preventing them from selling their stake. Their lawsuit seeks:

• A court order canceling the ground lease.
• Over $20.5M in damages.
• A court-appointed receiver to take over the disputed portion of the property.
  

Chisholm Fights Back

Chisholm, led by Robert Balzebre, dismisses the lawsuit as baseless. In a statement, the company claims that the Mirmellis mismanaged the property before Chisholm stepped in and renovated the hotel in 2011.

“The Surfcomber Hotel was in disrepair under the Mirmellis,” Chisholm’s attorneys stated. “Our significant multimillion-dollar renovation brought it back to iconic status.”

What’s Next?

With millions of dollars and hotel operations at stake, the case could have major implications for both parties. If the court rules in the Mirmellis’ favor, Chisholm could lose its lease and potentially face financial setbacks. Meanwhile, if Chisholm prevails, the hotel’s operations will likely continue without disruption.

For now, Miami Beach’s iconic Surfcomber remains in legal limbo as the dispute plays out in court.