Bankrupt Bermuda Resorts sold to New York investment firms
Two Bermuda resorts in receivership ? the Coral Beach & Tennis Club and the Horizons & Cottages resort, were sold by real estate firm KPMG to New York-based investment firms Three Wall Capital and ROC Group, according to local press reports.
The purchase price was not disclosed. The sales were confirmed Monday by a Bermuda Tourism Ministry?spokesman in New York.
The resort went into receivership in September after the lease holder, New York-based private equity firm Brickman, scrapped plans to re-develop the property as a 150-room Four Seasons, blaming the global financial crisis, according to a?Bermuda Royal Gazette?report.
A later bid to sell the club to its members collapsed. KPMG had sought a buyer for the hotels since September.
?The Coral Beach & Tennis Club is a landmark Bermuda property and is of significant importance to the Bermuda economy,? said KPMG managing director Charles Thresh.
Added Craig Cannonier, Bermuda?s premier, ?Today marks another vote of confidence for Bermuda and our tourism product. The sale is further evidence that the country is moving in the right direction. Both properties are vital to our tourism industry.?