Nakash Family Wins Versace Mansion Auction
The Nakash family outbid Donald Trump’s son and Palm Beach Polo owner Glen Straub to win the former Versace mansion for $41.5 million in a bankruptcy auction Tuesday morning.
After the auction, Joe Nakash, the winning bidder and owner of the Victor Hotel next door, said he plans to ask for the right to use the Versace name and operate the mansion as a hotel in conjunction with the Victor.
Should the deal fall through, the mansion will go to Donald Trump, whose team had the second highest bid at $41 million.
Bidding started at $25 million. It was thought that Trump’s name and financial muscle drove up the price of the mansion at 1116 Ocean Drive.
The parties expect to present the winning bid to U.S. Bankruptcy Judge Laurel M. Isicoff on Wednesday for approval.
Peter Loftin, who owned the property — a rare gem directly on Ocean Drive — placed the corporate entity it is held in, Casa Casuarina LLC, in Chapter 11 federal bankruptcy proceedings July 1 to stave off lien holder VM South Beach’s efforts to appoint a receiver and wrest control of the sale process from him.
Loftin, a telecom entrepreneur, bought the property in 2000 for $19 million. The property can be used as a residence or commercial business. Until May, Barton Weiss, a well known Miami restaurateur, had leased the property, operating it as The Villa By Barton G, a 10-room boutique hotel.
Luxury real-estate brokers Jill Eber and Jill Hertzberg, who operate as The Jills Team at Coldwell Banker, had listed the property for sale on in June for $125 million, later reducing the price to $100 million and $75 million with Loftin’s approval, but still got no takers.
Fashion designer Gianni Versace purchased the property in 1992, and according to The Jills, spent $33 million in renovating it, adding a wing and making additional upgrades.
Versace was shot to death on the steps of the home in 1997 by Andrew Cunanan.