It exited Chapter 11 a year later with a repayment plan, but the family eventually sold the property

DAYTONA BEACH SHORES -- Perry's vacation home rentals in texas Ocean Edge Resort, a local landmark here for more than 70 years, vacation home rentals in texas has been bought by a California company for $9.5 million, one of the highest prices paid for an existing oceanfront hotel in the Volusia-Flagler area in recent years.
Longtime area real estate observer G.G. Galloway, a partner vacation home rentals in texas and Realtor at Ormond Beach-based vacation home rentals in texas Coldwell Banker Commercial Benchmark, said this week the sale of Perry's is a significant event for the local market.
"I've been here since 1983, and everyone knows Perry's. It's well established and well known with probably one of the highest percent of repeat business on the beach," said Galloway, who was not involved in the property's sale.
"The lender had to move quick or they may have started to lose some of that repeat business," he said. "Bank-owned properties have limited budgets and so often have to make cutbacks that can cost repeat business."
Founded in 1941, Perry's has long been a popular vacation getaway for snowbirds and families. The hotel's 215 rooms are spread out among 14 buildings, including two towers and a handful of cottages, on 5.3 acres. It features 700 feet of beachfront property along with two outdoor swimming pools and a heated indoor pool.
"Perry's has been a great hotel for many years and I'm glad an ownership group has come in to keep it going," said Bob Davis, president and CEO of the Hotel and Lodging Association of Volusia County. "Pacifica is a large company, well respected within the industry. They usually go in for flagged hotels -- Marriott and Holiday Inn -- but I'm hearing they plan to keep it a private resort for the time being."
Pacifica Host Hotels vacation home rentals in texas owns 35 hotels in five states with 24 in California, according to its website. The company owns three resorts in Florida including Key Largo Resort at Manatee Bay and Cocoa Beach Oceanside Inn. Among the Pacifica Host Hotels brands are Marriott, Hilton, Crowne Plaza, Holiday Inn, Holiday Inn Express, Wyndham and Best Western.
It exited Chapter 11 a year later with a repayment plan, but the family eventually sold the property for $8.2 million in 2005 to GDA Investments, a local investment group led by Ormond Beach real estate developer George Anderson.
Anderson could not renegotiate a mortgage with LNR Partners, which foreclosed, winning a $12.8 million judgment. The property was put up for private auction in October with a starting price of $3.5 million.
"There was an $8.7 million bid that they rejected. That was a good move, apparently," said another local real estate observer, Chris Butera, an Ormond Beach-based vacation home rentals in texas commercial Realtor with NAI Realvest who also was not involved in the transaction.
"Its disadvantage is it's a hodgepodge of hotel rooms and cottages, all built at different times and some are old," Butera said of the Perry's property. "But it's nice to see this kind of investment on a larger scale. We've seen some smaller properties trading and others being renovated the past couple months after almost nothing from 2008 to 2010. This is a step in the right direction."
"If Perry's can't make it, we need to look at what the area needs to do," Galloway said. "If we had lost Perry's, it would be a sad situation. But, at that price, they (the new owners) can probably operate vacation home rentals in texas it and make renovations cheaper than building new."