Troubled Palm Beach condo-hotel project gets one-year extension, could sell

Miami /
Jan.January 12, 2017 03:00 PM

Palm House, a condo-hotel project that has been mired in lawsuits and financial trouble, was granted a one-year extension to find financing or sell to a new owner. 

The Palm Beach Town Council unanimously approved the extension on Wednesday, the Palm Beach Daily News reported. The court-appointed receiver, Delray Beach Mayor Cary Glickstein, said there’s significant buyer interest for the project, which has been through a number of owners. More recently, it’s been the subject of an alleged $50 million EB-5 scheme.

More than 50 Chinese and Iranian investors claim they were the victims of fraud, and are suing 33 defendants, including developer Robert Matthews and his wife Mia Matthews, brother Gerry Matthews, Ryan Black, Joseph Walsh and Joseph Walsh Jr. The suit alleges the money improperly transferred into other accounts and then used to buy homes, luxury cars, a 151-foot, nearly $6 million yacht, and even to pay off millions of dollars of personal debt.

“I will tell you I am really tired and I think the rest of this town are really sick of this project,” Councilwoman Danielle Moore said before voting for the extension, according to the newspaper.

Construction began in 2007 and was originally set to open by 2014. [Palm Beach Daily News] – Katherine Kallergis


Related Articles

arrow_forward_ios
Triton Center (iStock)

Questions surround $50M in EB-5 investments tied to former INS building: lawsuit

Questions surround $50M in EB-5 investments tied to former INS building: lawsuit
(Google Maps)

Condo sales fell in Miami-Dade last week

Condo sales fell in Miami-Dade last week
South Florida’s residential markets bounced back in the third quarter

South Florida’s residential sales rise in Q3, led by surge in Palm Beach County

South Florida’s residential sales rise in Q3, led by surge in Palm Beach County
Map of weekly condo sales and Solimar Condo (Credit: Google Maps)

Weekly condo sales dip in first week of November

Weekly condo sales dip in first week of November
3573 South Ocean Boulevard, Highland Beach (Google Maps)

Software telecom company founder sells waterfront Highland Beach mansion for $8M

Software telecom company founder sells waterfront Highland Beach mansion for $8M
Alex Sapir and Bella Sapir (Credit: Mark Von Holden/WireImage via Getty Images, and ADRIEL REBOH/Patrick McMullan via Getty Images)

Alex Sapir’s family closes on condos at Sapir’s Arte in Surfside

Alex Sapir’s family closes on condos at Sapir’s Arte in Surfside
Weekly condo sales jump in Miami-Dade

Weekly condo sales jump in Miami-Dade

Weekly condo sales jump in Miami-Dade
Jeffrey Epstein and 358 El Brillo Way (Getty, Corcoran Group)

Jeffrey Epstein’s Palm Beach house under contract

Jeffrey Epstein’s Palm Beach house under contract
arrow_forward_ios

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

Loading...