Developer Glenn Straub prepares to bid on former Versace mansion

 
 
The former Versace mansion, known as Casa Casuarina, is slated to be auctioned Sept. 17 by order of a federal bankruptcy court. Developer Glenn Straub has filed court papers signaling plans to bid.
The former Versace mansion, known as Casa Casuarina, is slated to be auctioned Sept. 17 by order of a federal bankruptcy court. Developer Glenn Straub has filed court papers signaling plans to bid.
Courtesy of Coldwell Banker

mbrannigan@MiamiHerald.com

Glenn Straub, a developer who owns the Palm Beach Polo and Country Club, is preparing to bid for the former Versace mansion, which is set to be auctioned Tuesday in a federal bankruptcy proceeding.

Palm Beach Polo filed a notice of appearance with the U.S. Bankruptcy Court in Miami on Friday, lining up to participate in the auction, which will be held at the spectacular 10-bedroom, 11-bath estate at 1116 Ocean Drive, Miami Beach.

According to his attorney, Luis Salazar, Straub has met the court’s conditions to bid by ponying up a $3-million deposit and demonstrating the wherewithal to pay at least $40 million.

In a statement Straub’s attorney, Luis Salazar, said “Straub has tremendous financial strength to bid’’

The debt holder, VM South Beach LLC, has put in a stalking-horse bid of $25 million itself, setting a minimum for other bidders. The sale will include the property fully furnished.

The current owner, Peter Loftin, put Casa Casuarina LLC, the company that owns the property, in Chapter 11 bankruptcy proceedings on July 1 in a bid to stave off creditors’ efforts to appoint a receiver. The parties soon afterward agreed to the auction.

VM South Beach LLC, which acquired the mortgage on the property in December 2011 from a German bank, WestLB, has reason to want the property: It is affiliated with the Nakash family of New York, which controls Jordache Enterprises and has an interest in the Victor Hotel next door to Casa Casuarina.

Straub couldn’t be reached for comment. A spokeswoman for Straub’s law firm said in a statement that Straub is “no stranger to bankruptcy auctions, having successfully acquired many assets and projects in bankruptcy auctions across the country, including the $400 million Tesoro Club & Resort based in St. Lucie.’’

In 2004, Straub made a surprise winning bid for the Miami Arena; he sold the site in 2012.

Italian designer Gianni Versace was shot to death on the steps of the estate in 1997. Versace bought the property in 1992 when it was a rundown apartment complex. According to Coldwell Banker, which has been marketing the estate in cooperation with Fisher Auction Company, he invested more than $33 million in expanding and upgrading the place.

Read more Breaking News - Business stories from the Miami Herald

Miami Herald

Join the
Discussion

The Miami Herald is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere on the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. Thank you for taking the time to offer your thoughts.

The Miami Herald uses Facebook's commenting system. You need to log in with a Facebook account in order to comment. If you have questions about commenting with your Facebook account, click here.

Have a news tip? You can send it anonymously. Click here to send us your tip - or - consider joining the Public Insight Network and become a source for The Miami Herald and el Nuevo Herald.

Hide Comments

This affects comments on all stories.

Cancel OK

  • Marketplace

Today's Circulars

  • Quick Job Search

Enter Keyword(s) Enter City Select a State Select a Category