Former One Bal Harbour owner sues partners

Miami /
Jul.July 23, 2014 09:45 AM

The January sale of much of the One Bal Harbour Resort & Spa seemed to put an end to years of litigation and bankruptcy cases, but a new lawsuit related to the condo-hotel was just filed in Miami-Dade Circuit Court.

Lumber Liquidators Holdings owner Thomas Sullivan, through a company called F9 Investments, sued former business partners Jorge and Juan Arevalo over claims that he is owed about $12 million from a $17.5 million loan. Sullivan and Jorge Arevalo acquired the condo-hotel from bankrupt WCI Communities for nearly $15 million in 2009. According to the suit, Sullivan arranged to have the Arevalos manage the resort, pay back the loan and provide a share of the profits.

Sullivan also claims Jorge Arevalo didn’t reveal his intention to take a $1 million commission from the loan, according to the Daily Business Review. The allegations in Sullivan’s suit mirror accusations made by the condo-hotel’s association in its lawsuit against Arevalo.

The residential condo association of One Bal Harbour ended up as the buyer in the $13.4 million bankruptcy sale of the property’s hotel tower, common areas and nine unsold condos.

Arevalo’s attorney Joseph DeMaria claims Sullivan is simply “deflecting attention” with his suit against his client because the liquidating bankruptcy trustee is pursuing him.

Sullivan “claims he was left in the dark from the management of One Bal Harbour, and that claim is a lie, and I have e-mails and documents to prove it,” DeMaria said. [Daily Business Review]Eric Kalis


Related Articles

arrow_forward_ios
Faena House at 3315 Collins Avenue in Miami Beach (Condos.com)
Faena House closing tops Miami-Dade’s weekly condo sales
Faena House closing tops Miami-Dade’s weekly condo sales
A photo illustration of the Four Seasons Residences at Biscane Bay (left), the Mansions at Acqualina (middle), and the 1 Hotel & Homes at Miami Beach (right) (Condo.com, iStock)
Here are Miami-Dade’s top condo sales in April
Here are Miami-Dade’s top condo sales in April
A photo illustration of the Mansions at Acqualina (Mansions at Acqualina, Condo.com, iStock)
Mansions at Acqualina closing tops Miami-Dade’s weekly condo sales
Mansions at Acqualina closing tops Miami-Dade’s weekly condo sales
Santiago Arana and Mauricio Umansky (iStock)
The Agency expands again in South Florida with Surfside outpost
The Agency expands again in South Florida with Surfside outpost
$15M Fisher Island closing tops Miami-Dade’s weekly condo sales
$15M Fisher Island closing tops Miami-Dade’s weekly condo sales
$15M Fisher Island closing tops Miami-Dade’s weekly condo sales
$11M 1 Hotel & Homes closing tops Miami-Dade’s weekly condo sales
$11M 1 Hotel & Homes closing tops Miami-Dade’s weekly condo sales
$11M 1 Hotel & Homes closing tops Miami-Dade’s weekly condo sales
Ocean House at 125 Ocean Drive in Miami Beach, Four Seasons Residences at 1425 Brickell Avenue in Miami, and The Surf Club Four Seasons at 9001 - 9111 Collins Avenue in Surfside (Condos.com)
Here are the top March condo sales in Miami-Dade
Here are the top March condo sales in Miami-Dade
6800 fisher Island Drive (Zillow, iStock)
$30M Fisher Island closing tops Miami-Dade’s weekly condo sales
$30M Fisher Island closing tops Miami-Dade’s weekly condo sales
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...