A Grant Cardone-led entity submitted a $230 million stalking horse bid for Penn-Florida Companies’ 101 Via Mizner in Boca Raton.
Aventura-based Cardone Real Estate Acquisitions is seeking to buy the 14-story, 366-unit building at 101 East Camino Real, according to a June 2 U.S. Bankruptcy Court emergency motion filed by an affiliate of Boca Raton-based Penn-Florida Companies, which owns 101 Via MIzner. Penn-Florida is led by Mark Gensheimer.
An auction is set for June 16. If another bidder tops the Cardone entity’s offer, his entity will receive a $2 million termination fee and an expense reimbursement of $100,000, court records show. Cardone’s entity is paying all cash and has to put in a $20 million deposit that will be applied to the purchase price.
Valued at $272.5 million, 101 Via Mizner is being marketed by a CBRE team led by Robert Given and Zach Sackley, court records show.
A crowdfunding guru who sells minority shares in properties in his company’s nationwide portfolio, Cardone also plans to offer investors a stake in 1,000 Bitcoin (current value: $105.2 million) that Cardone Real Estate Acquisitions is also buying. Cardone recruits investors via his social media platforms, which have more than 10 million followers combined.
“I’ll pay cash for both [101 Via Mizner and Bitcoin],” Cardone told The Real Deal via text. “And then let investors invest in a purchase of what is arguably the best location in all of Boca Raton.”
In January, Penn-Florida’s affiliate filed for Chapter 11 reorganization in order to delay a UCC auction to sell the 3.1-acre property. Blackstone Mortgage Trust sought a UCC foreclosure against 101 Via Mizner because Penn-Florida allegedly failed to repay a $145 million mortgage when the loan matured.
Cardone is bullish on cryptocurrency, having recently raised money for five funds that are investing in his real estate and Bitcoin deals. A few months ago, Cardone raised $88.1 million to buy $15 million in Bitcoin and purchase a Central Florida apartment project for $73 million.
