BELLEAIR – A waiting game is being played out, as groups interested in the Belleview Biltmore Resort and Spa devise backup plans should the contract between the hotel’s owners, Urdang and Associates, and DeBartolo Development fall through.
“We have been in contact with the Urdangs and our attorneys are working on a backup contract,” said Rory Hiller, an Island Esates resident and real estate developer. “They invited us to submit a backup.”
Hiller, along with two partners he will identify, Brian McLeroth of Belleair and John Chapman of Belgium, plus others he prefers not to disclose, are ready to make a $40 million dollar offer to purchase the Biltmore.
“We have the funds ready and we are waiting to see what happens,” said Hiller.
Hiller’s plans for the property include extensive renovation while keeping with the Victorian theme. The center portion of the hotel would be comprised of 83 hotel rooms and the north-south wing converted to 300-plus hotel/condo units.
“It is, in fact, going to look better than it looks now,” Hiller said. “Our goal is to have the original look.”
Hiller acknowledges that initially his group wasn’t sure the entire structure could be saved, leading to speculation that the north-south wing would be destroyed.
“We brought in forensic engineers and architects who went through the hotel,” he said. “After all was said and done, they said everything is structurally-sound and can remain standing. I’m very comfortable with the structure as it is.”
Hiller estimates the hotel would require between $60 million and $80 million in renovations, including new wiring, plumbing, roof and central air conditioning. Converting the north/south wing to hotel/condo units is the only financially feasible option, according to Hiller.
“Economics 101 says if you keep it as a pure hotel, you’d have to ask $1,200 a night,” he said.
According to Hiller, the InterContinental Hotels Group is interested in signing on with the Belleview Biltmore. Plans for the hotel would include replacing the current spa with a “5-star spa” with plastic surgery recuperation facilities, Hiller said.
Elaborate landscaping to create a “park-like setting” are planned in conjunction with situating the Victorian houses together just past the guardhouse, where one of them is now located.
As per IRS tax law regulations, after five years and one day, Hiller’s plan is to “donate” the hotel, Victorian houses, golf course and beach property to the nonprofit Friends of the Biltmore, the group led by Belleair resident Rae Claire Johnson. According to Hiller, the plan is for the “Friends” to turn the golf course over to the town of Belleair.
Hiller said he has not talked with any Belleair officials about his plans, though he has met with several “high end” unidentified Belleair residents who approve of his ideas.
“Everybody has embraced it,” Hiller said.
Meantime, Diane Hein of Save the Biltmore Preservationists Inc. is pinning her hopes on two other potential buyers interested in preserving the Belleview Biltmore’s historical heritage. Hein objects to plans to convert any portion of the historic hotel to hotel/condos.
Hein said a financial investment trust is “ready to make an offer.” She said the trust approached a local resident with a background in the hotel business about the Belleview Biltmore. A real estate attorney is making contacts with Urdang on behalf of the trust, said Hein.
The other interested party to come into play is Marcus Hotels and Resorts, based in Milwaukee. In a letter to Scott Urdang dated July 29, Marcus’ senior vice president of development, J. David Merritt, said he “would like to discuss the project further” should the proposed buyer be “unable to perform.”
Merritt notes that Marcus has acquired several landmark structures, among them the Hotel Pfister in downtown Milwaukee and the Hotel Phillips in Kansas City, which is on the National Register of Historic Places.
“It is the desire of our hotel and resort division as well as our Board of Directors to acquire additional historically significant hotels and destination resorts around the country. The Belleview Biltmore achieves those objectives ideally,” writes Merritt.
Hiller maintains that there are only two players in the chase for the Belleview Biltmore ownership, the first being DeBartolo Development, which has it under contract.
“We’re the only second position. They are not considering anyone else,” Hiller said.
