The Paramount Beach Sunny Isles Condo Site is Now Facing Foreclosure.
Paramount Beach
In the last 6 years, We’ve watched the great majority of new modern towers being completed along Sunny Isles Beach, with a few of my favorites including JADE Beach & JADE Ocean Condos, Trump Towers, Sayan, Turnberry Ocean Colony, Trump Royale, Trump Palace, and the Trump Beach Resort, and with so many great buildings, only a few along the ocean that have gone belly up. The first was the Da Vinci parcel sale & cancellation, and now the unexpected news of Paramount Beach (Not to be confused with Paramount BAY). iStar FM Loans filed a foreclosure lawsuit against the developer a few days before Christmas.
Reported in the South Florida Business Journal on January 2nd, 2009, the Paramount Beach condos beachfront site has a foreclosure filing in Miami Dade County Circuit Court against Boca Raton-based Sunny Isles Development Co., a corporation owned by the executives of Royal Palm Homes plus several other investors, which owns the site.
Sunny Isles Development bought the site for $25 million in 2003 and took out a $32.2 million mortgage with Fremont Investment and Loan, which later assigned much of its portfolio to iStar.
Daniel Kodsi, CEO of Royal Palm and a partner in the ownership of the Paramount Beach site, said the developer purposefully stopped paying interest on the iStar loan because the lender was being inflexible in offering a renewal. Even after getting an offer for a construction loan, the developers canceled the Paramount Beach project in 2006 because there was too much building in the market, Kodsi said.
Paramount Beach Sunny Isles Opinions
They were set to go up just south of the new luxury developments JADE Beach & JADE Ocean Condos, but with pre-construction pricing starting too late in the game for a sellout. I remember the hype only starting at the very end of the real estate frenzy. They were smart enough to see what was happening along the Miami real estate market and held this parcel. If the Bal Harbour land parcel is supposedly worth $225 Million and closes anywhere within a fraction of the asking price, then this Sunny Isles Beach land will be well worth the long-term hold.
South Beach to Sunny Isles Real Estate Consultant, Micro Economist. Contact me for a marketing overview. We will do a pricing analysis to determine the proper price for your Miami property. If you’d like to receive the latest local real estate news via blog postings & updates, you can easily be notified by RSS feed (see upper left column) or by email above every time a new posting occurs. The new JADE Condos Sunny Isles.com is now available! Have a great week, and call me toll-free at 1.888.383.7326 or view new oceanfront condos here.
UPDATE 2.24.09 from DailyBusinessReview.com reads “A couple weeks ago, iStar sold the mortgage note on the Paramount Beach condo site in Sunny Isles Beach for an undisclosed amount to Sunny Isles Property Holdings, a company managed by Carlos Mattos, according to Miami-Dade County records. The lender, which had provided about $32 million to developer Sunny Isles Development, filed a foreclosure suit on the site in December 2008.”