The foreclosure saga of three prime oceanfront sites owned by homebuilder John Kennelly in Hillsboro Beach has come to an end.
A bankruptcy judge reportedly approved three separate sales for a combined $48.5 million this week, following a failed auction last month where the opening bid was set at $57 million.
Kennelly had struck a deal with his lender BridgeInvest to stave off a $38 million foreclosure suit earlier this year, agreeing to either sell or refinance the properties by November. He brought on SVN Moecker Realty to help market the properties.
But after a disappointing auction last month, according to the South Florida Business Journal, the homebuilder’s attorney moved to sell the land in separate deals.
In the largest sale, a company called Dome Realty dropped $35 million for 11.3 acres at 1174-1185 Hillsboro Mile, which is zoned for multifamily and could house up to 168 units, the Business Journal reported.
Another nearly 1.5-acre chunk at 1103 Hillsboro Mile was scooped up by Paul and Carol Cutler, executives at green energy investment company Power Generations, for $8.25 million.
Deborah and Sean Acosta also paid $5.25 million for an acre at 1107 Hillsboro Mile.
As SVN’s Keith Kidwell told The Real Deal earlier this year, the smaller lots are zoned for single-family homes and could be developed into large oceanfront spec houses. Just down the street, one of the country’s most expensive homes is up for grabs at $165 million.
The sales yielded enough cash for Kennelly to pay off his companies’s debts to BridgeInvest, the Journal reported. [South Florida Business Journal] — Sean Stewart-Muniz