Copperline Partners purchased majority control of the Ambassador Hotel Cooperative Apartments along the ocean in Palm Beach. It hopes to buy the rest of the property.
Greenberg Traurig attorney David Layman said he helped West Palm Beach-based Copperline buy 69 of the 97 cooperative units in the property for a combined $35 million. The company now owns 76% of the shares in the cooperative building at 2730 S. Ocean Blvd.
Acore Capital Mortgage provided a $23.45 million loan to the buyer.
In April, the Ambassador Hotel Cooperative Apartments Corp. filed a lawsuit against Copperline Partners accusing it of "tortious interference" with its members in seeking to convince them to sell. The case was settled and dismissed in June.
Layman worked with attorneys Mark F. Bideau, Charles L. Abrams and Maximilian Weber on the deal.
Copperline will operate the Ambassador as a hotel for the upcoming winter season, Layman said. It's looking to purchase the remaining cooperative units in the building, he added.
"It's a unique property," Layman said. "It's grandfathered for hotel use in an area with limited hotels."
Richard Schlesinger, the head of Copperline, said he will clean and paint the hotel, in addition to buying new furniture, for this season. The Jewell at the Beach — run by the owner of the Jewell Bistro in Lake Worth — will also open in the hotel, he added.
After the season ends May 1, Schlesinger will reveal his plans regarding the hotel, including its branding.
His company also owns the Brazilian Court hotel in Palm Beach.
"We know that values on the beach are significantly greater than those off the beach," Schlesinger said. "We see an opportunity to create another five-star hotel … We will certainly upgrade the property significantly."
In July, Copperline sold the Mayfair Hotel & Spa in Miami's Coconut Grove after taking control of its hotel condo units through acquisitions and litigation.
Source: https://www.bizjournals.com/southflorida/news/2019/11/19/cooperline-buys-majority-of-ambassador-hotels.html