Toronto's Troubled Condo Project The One Seeks $1.2 Billion Sale

Kennedy Wilson, a US commercial property giant, is contemplating the sale of the iconic Shelbourne Hotel in Dublin for €260 million. The company has appointed Eastdil Secured to find a buyer for a 50% stake in the business, but may also consider selling the entire property. Kennedy Wilson acquired the hotel in 2014 for $152 million, and it is currently their only fully-owned operating hotel. This potential sale is part of Kennedy Wilson's strategic evaluation of its portfolio.

Meanwhile, receivers appointed to Johnny Ronan's properties in Dublin are planning to sell off assets to recover debts. The portfolio, valued at €190 million, includes Dublin landmarks such as Connaught House and Bewley’s Café. Grant Thornton has enlisted JLL and Cushman & Wakefield to orchestrate the sale, as the debts exceed the market worth of the properties. Johnny Ronan is determined to retain his holdings, but the sale threatens to dismantle his portfolio. The potential sale of the Shelbourne Hotel by Kennedy Wilson and the receivers' plan to sell Johnny Ronan's properties highlight the high stakes in Ireland's property market. The outcomes of these sales could have implications for property values and investment trends in Dublin, setting a precedent for future real estate dealings in the region. This situation is a defining moment in Dublin's commercial real estate history. [e0a76979] [3ba7f641]

In other real estate news, regional estate agency group Sheldon Bosley Knight has made its second acquisition of the year by purchasing Charles Kimbell Lettings in Market Harborough. This acquisition brings Sheldon Bosley Knight's total fully managed properties to 800. Charles Kimbell Lettings, which has two offices in Market Harborough and Lutterworth, covers south Leicestershire. The owners of Charles Kimbell Lettings decided to retire and sell the business, and Sheldon Bosley Knight was chosen as the buyer due to its local presence and resources in the private rental sector. This strategic fit strengthens Sheldon Bosley Knight's Andrew Granger office in Market Harborough. Sheldon Bosley Knight, which celebrated its 180th birthday last year, has more than 160 in-house staff in offices across Coventry and Warwickshire, Leicestershire, Worcestershire, and the Cotswolds. This acquisition follows Sheldon Bosley Knight's purchase of the local Charles Saville agency and lettings book in February. The regional agency's recent acquisitions demonstrate its growth and expansion in the real estate market. [1910feb5]

Mark Koppikar, a self-styled mystic known as the Guru of Glenborrodale, is facing eviction from his luxury castle in the Scottish Highlands. Koppikar, who bought the castle for £3.75 million in 2022, uses it as a home and center for spiritual retreats. However, administrators overseeing Koppikar's company, Shanti Estates, are seeking to repossess the castle to pay off debts totaling £2,994,732. Koppikar's followers have launched a fundraising campaign to save the retreat, but have only raised £3,864 so far. The administrators estimate the castle's value at £3.9 million. [6700d086]

The receiver for The One condo tower in Toronto is seeking to sell the unfinished skyscraper for $1.2 billion. The One's lenders are owed $1.5 billion after the tower's co-owner, Jenny Coco, and developer Sam Mizrahi defaulted on loan payments during construction. If no bid satisfying the $1.2 billion minimum emerges, the project's senior lenders are committed to providing financing to complete construction. The receiver has replaced Mizrahi's development firm as the general contractor, revised the budget and schedule, redesigned the upper floors to make them more marketable, and chosen a commercial real estate firm to run the building sale. The senior lenders have stated that they will not support any transaction proposal with a purchase price below the minimum bid threshold. The receiver is seeking court approval to use Jones Lang LaSalle Real Estate Services as the sales broker, with the first round of bids due on July 30 and the second round due on September 24. The One, which has been under development since 2015, was marketed as Canada's tallest condo building with 85 storeys of condos, hotel rooms, and retail spaces. Construction is ongoing, with the concrete structure complete through Level 57. The revised plans for the top floors will add 88 units. [bbfb3c90]