Dubai developer Damac Properties closed on its $120 million acquisition of the site of the deadly Surfside condo collapse, The Real Deal has learned.
The sale was recorded on Wednesday, according to the receiver’s notice, filed with Miami-Dade Circuit Court.
The transfer of ownership marks a key milestone in litigation tied to the collapse of Champlain Towers South, which killed 98 people in June of last year. Last month, Judge Michael Hanzman, who oversees the class action case, approved the $1.02 billion settlement for the families who lost loved ones, and the termination of the condominium, a technical requirement for Damac to close on the land.
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An Avison Young team led by Michael Fay represented the receiver in the sale of the land. Jeff Cohen and Vivian Dimond of Brown Harris Stevens represented Damac.
Damac, led by Hussain Sajwani, emerged as the stalking horse bidder for the property at 8777 Collins Avenue in Surfside last year, and was the only firm to bid on the site.
The proceeds from the sale are being held in a trust, according to the notice of sale filed by the Champlain condo association’s court-appointed receiver, attorney Michael Goldberg. The funds will go toward a $96 million settlement for the unit owners who survived the collapse but lost their homes. Insurance proceeds also will fund a portion of the unit owners’ settlement.
Damac plans to build a Cavalli-branded luxury condo building on the 2-acre oceanfront property. Details of the building’s height and unit count have not been released, and the developer has not yet filed plans with the town of Surfside.
In May, prior to the planned auction, Damac increased its deposit for the property to $50 million to demonstrate its commitment to closing on the land, and it also shortened its due diligence period.