The Real Deal Miami

Condo flippers back in West Palm Beach?

January 14, 2011 04:01PM

An Aventura investment group has flipped a group of 147 West Palm Beach condominium units for a 16 percent profit after grabbing them from FirstBank Puerto Rico at 67 percent off the face value of the mortgage. The apartments were part of a 312-unit conversion project called the Clear Lake Palms Condominium at 405-431 Executive Drive. FirstBank Puerto Rico had taken control of the building’s unsold units in May after foreclosing on the $11.1 million mortgage there, and last week sold them to the investment group for $3.7 million, which in turn transferred them that same day for $4.3 million to another group. “This now raises questions about the lender and their decision to sell at the price that they sold at,” said Peter Zalewski, a principal at Bal Harbour brokerage Condo Vultures. “If the lender did their homework, they wouldn’t have sold it for that price and would have gotten the higher value.” [SFBJ]