As if the embattled Palm House didn’t have enough troubles, the hotel-condominium is now facing foreclosure proceedings.
The Palm Beach Daily News reported a foreclosure complaint was filed regarding the property’s $27.5 million mortgage. The lender is the previous owner of Palm House, Wellington developer Glenn Straub. The report said that Palm House is the collateral for the loan, made last year, and that the sale of each condo was supposed to contribute $400,000 toward the debt.
The foreclosure is the latest in a series of twists and delays in the development of the property, which was under construction for eight years. Last week The Real Deal wrote about an ownership dispute at the property that involved a padlock on the front gate and allegations of threatening behavior. [Palm Beach Daily News] – Jennifer White Karp