gary cohen - News - The Coastal Star2024-03-29T15:07:55Zhttps://thecoastalstar.com/profiles/blogs/feed/tag/gary+cohenSouth Palm Beach: Town council shuns developer’s height requesthttps://thecoastalstar.com/profiles/blogs/south-palm-beach-town-council-shuns-developer-s-height-request2016-06-01T17:55:35.000Z2016-06-01T17:55:35.000ZThe Coastal Starhttps://thecoastalstar.com/members/TheCoastalStar<div><p><strong>By Dan Moffett</strong><br /><br /> Developer Gary Cohen and two of his lawyers spent more than an hour trying to persuade the South Palm Beach Town Council to vote on a charter amendment measure that might allow him to build his condo project 5 feet higher on the old Palm Beach Oceanfront Inn site.<br /> It didn’t work.<br /> “We would beg of you to make a motion and have a vote,” Mitch Kirschner, an attorney for Cohen’s Paragon Acquisition Group, said during the May 24 town meeting.<br /> Council members sat silently and then moved on to the next item on the agenda.<br /> The council’s cold shoulder is because building heights are a “hot-button” issue in South Palm Beach, said Vice Mayor Joe Flagello. Officials remember the angry outcry from residents six years ago when the property’s previous owner, Pjeter Paloka, wanted to build a 14-story condo. Voters responded by overwhelmingly putting strict height limits in the town charter.<br /> “This is through no fault of your own. It’s with the previous history. We get that. We know you’re not the previous group,” said Flagello, who told Cohen he should understand why the town is “gun shy” about height. “But you do know the history and what has occurred in this town. And it is a very hot-button issue. There are people who are very passionate on both sides of the fence.”<br /> Flagello told Cohen that he should take the other route that remains available — bypass the council and go directly to the town’s voters and get the petitions needed to put a charter change amendment on the November ballot. To do that, Paragon would need to collect signatures from 15 percent of the town’s registered electorate, roughly between 150 and 200 voters.<br /> Cohen said afterward he was undecided about what his next step would be. “It’s something we will discuss internally,” he said. He called the prospect for getting petitions “certainly feasible.”<br /> Paragon has admitted that the original architect for the project miscalculated the height for the six stories with 30 condominiums that would sit above the parking garage, failing to include the 5 feet needed for five floor plates. Cohen has said the building must have 10-foot ceilings to be competitive in the luxury condo marketplace, requiring a minimum height of 65 feet, not 60.<br /> “We have a problem that makes our project unmarketable in 2016,” Kirschner said.<br /> Cohen has partnered with DDG, a New York-based real estate investment group, to help sell the project. Prices start at about $2.3 million for a 2,900-square-foot unit with two bedrooms and three baths. The dispute between council members and Paragon also has caused friction with Town Attorney Brad Biggs.<br /> Councilwoman Stella Gaddy Jordan proposed seeking outside applicants to take over the town’s legal work, saying the council needed more advice and information than Biggs was providing. Councilman Woodrow Gorbach seconded her motion. He said Biggs “can be hard to get a hold of.”<br /> Flagello was solidly on Biggs’ side: “He has my full confidence.” After first abstaining, Councilman Robert Gottlieb voted with Flagello.<br /> Mayor Bonnie Fischer, after a couple minutes’ hesitation, rejected Jordan’s motion, which failed 3-2. Fischer said the council was likely to take up the Biggs matter again at the June 28 meeting, however.</p></div>South Palm Beach: Paragon still plans to build condos on Oceanfront Inn sitehttps://thecoastalstar.com/profiles/blogs/south-palm-beach-paragon-still-plans-to-build-condos-on-oceanfron2015-12-02T21:02:50.000Z2015-12-02T21:02:50.000ZMary Kate Leminghttps://thecoastalstar.com/members/MaryKateLeming769<div><p style="text-align:center;"><strong><a href="{{#staticFileLink}}7960613676,original{{/staticFileLink}}"><img width="750" class="align-center" src="{{#staticFileLink}}7960613676,original{{/staticFileLink}}" alt="7960613676?profile=original" /></a></strong><em><a href="{{#staticFileLink}}7960613676,original{{/staticFileLink}}"></a>Artist’s rendering of the condos planned for the former site of the Palm Beach Oceanfront Inn. <strong>Rendering provided</strong></em></p>
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<p><strong>By Dan Moffett</strong></p>
<p><br /> After months of silence, South Palm Beach officials and developer Gary Cohen are talking again about his Oceanfront Inn property.<br /> The Paragon Acquisition Group chief executive officer met with new Town Manager Bob Vitas and Mayor Bonnie Fischer in November. Vitas and Fischer said Cohen promised to complete the demolition of the old Palm Beach Oceanfront Inn in a timely manner, then begin building the 33-unit condominium project the town has approved.<br /> “It’s going to be a long process,” Fischer said. “We’ll see if the building ever gets built. It’s a very small property with a large building going on.”<br /> Vitas said the purpose of the meeting was “to clear the air and make sure that everybody was on the same page. I’m not a referee, but I’m a good mediator.”<br /> Cohen, according to Vitas and Fischer, said the property isn’t for sale. But other town officials aren’t so sure.<br /> “I think he is trying to sell it,” said Councilman Woodrow Gorbach, a real estate agent. “It is on the market — the European market. I don’t really believe him.”<br /> Since the spring, HFF commercial real estate brokers in Miami has run an Internet ad that lists the property and its approved development plan as for sale. Cohen paid $8.25 million for the property in 2013. Vitas said that “if somebody offered him double what he paid for it,” there’s no reason to think he wouldn’t sell.<br /> Among the other discussion points:<br /> • Cohen told Vitas and Fischer he intends to have the sea wall completed by the March 1 permit deadline. Fischer said she expects more inspections of the wall construction from state environmental officials in the weeks ahead.<br /> • Shortly after the wall’s finished, Cohen said, he intends to concentrate on demolition of the hotel and wants it to be done by June.<br /> “Beyond that,” Vitas said, “he plans going forward with the physical construction of the property.”<br /> • The town officials told Cohen to talk to neighboring property owners and keep them informed. Fischer said residents were concerned about the vibration from construction and demolition. She urged him to take steps to minimize that.<br /> “He understands there are many watchful eyes on it,” Vitas said. “I advised him to reach out to the neighbors.”<br /> Fischer said the town had no contact with Paragon or Cohen for most of the year. Not having a town manager on the job since June has hindered communications, council members said.<br /> “We agreed that we’d meet on a regular basis,” Vitas said. “I want to be kept up to date on what’s going on. We’re going to be monitoring it closely.”<br /> <strong> In other business</strong> from the Nov. 17 town meeting:<br /> • Vitas said he intends to have a “90-day action plan” ready for the council to review in December. “I’m not going to tell you what to do,” he said. “I want you to tell me what you’d like to have done.”<br /> Vitas, the former Key West city manager, succeeds Jim Pascale, who abruptly resigned in June after three months on the job. <br /> “I actually heard people laughing in their offices this week,” said Councilman Robert Gottlieb of Vitas’ welcome arrival.<br /> • Police Chief Carl Webb has promoted Lt. Robert Rizzotto to commander and hired Richard Scott Stevens as a new part-time patrol officer. Rizzotto and Stevens worked together with the New York City Police Department years ago. Ú</p></div>South Palm Beach: Future uncertain for Oceanfront Inn propertyhttps://thecoastalstar.com/profiles/blogs/south-palm-beach-future-uncertain-for-oceanfront-inn-property2015-11-04T17:56:55.000Z2015-11-04T17:56:55.000ZChris Felkerhttps://thecoastalstar.com/members/ChrisFelker<div><p style="text-align:center;"><a href="{{#staticFileLink}}7960606490,original{{/staticFileLink}}"><img class="align-center" src="{{#staticFileLink}}7960606490,original{{/staticFileLink}}" width="448" alt="7960606490?profile=original" /></a><em>The developer has begun a limited demolition of the Oceanfront Inn in South Palm Beach.</em></p>
<p style="text-align:center;"><strong>Willie Howard/The Coastal Star</strong></p>
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<p style="text-align:left;"><strong>By Dan Moffett<br /><br /></strong> Developer Gary Cohen has all the permits in place to tear down the Oceanfront Inn in South Palm Beach, but afterward the fate of the prime piece of property remains anything but certain.<br /> Cohen began a limited demolition of the hotel in October and plans to start reconstructing the sea wall soon. But Mayor Bonnie Fischer says the town knows little more than that.<br /> “We don’t have a timetable for when it will be torn down,” she said. “But he (Cohen) has all the permits he needs to do it. He doesn’t talk to us about his plans.”<br /> Since the spring, Cohen’s Paragon Acquisition Group has been advertising the property with HFF commercial real estate brokers in Miami. The ad calls it “the last remaining ocean development opportunity on the island” and makes the point that the town has approved his development plan to build a 33-unit condominium building with six stories over a parking garage.<br /> “I’ve thought from the start that they were going to flip the property,” said Vice Mayor Joseph Flagello. “If that’s what they want to do, then good, flip it.”<br /> Councilman Woodrow Gorbach, a real estate agent, said residents had figured out some time ago that Cohen was probably a dealer and not a builder. He bought the hotel, known to locals as the Hawaiian, for $8.25 million in 2013.<br /> “Rumors have been floating around the town that the owners have no intention of putting a building there,” Gorbach said, and wondered about what price the market would allow.<br />“I don’t think he’s going to get $20 million for it,” Gorbach said. “But I’d hate to think he won’t get $10 million for it. However, the economy just isn’t that good right now.”<br /> A potential buyer who wanted to change Paragon’s building plan would have to get the town to approve the changes first, officials said. Fischer said getting the demolition completed is the priority for residents right now.<br /> “Having an empty lot is better than what we have now,” the mayor said. “We’ll see what happens then.”</p></div>South Palm Beach: With inn site on the market, town manager raises intriguing options, sets special workshophttps://thecoastalstar.com/profiles/blogs/south-palm-beach-with-inn-site-on-the-market-town-manager-raises-2015-05-28T16:00:00.000Z2015-05-28T16:00:00.000ZMary Kate Leminghttps://thecoastalstar.com/members/MaryKateLeming769<div><p><strong> By Dan Moffett</strong><br /> <strong> </strong><br /> After months of telling South Palm Beach residents he was committed to building an architectural jewel where the dilapidated Oceanfront Inn now stands, developer Gary Cohen has quietly put the site up for sale. Cohen purchased the property in October 2012.<br /> The chief executive officer of Paragon Acquisition Group has listed the beleaguered property with HFF commercial real estate brokers in Miami. An ad calls it the “last remaining ocean development opportunity on the island” and says the town has signed off on a building plan.</p>
<p> At times, though, the ad gets a little vague about the town and where the property is located. “Nestled on the cusp at which Palm Beach and the uber-exclusive enclave of Manalapan meet, the Site lies at the epicenter of wealth in South Florida,” the ad says.<br /> New Town Manager Jim Pascale thinks the developer’s reversal offers an opportunity. What if South Palm Beach bought the property from Cohen and turned it into a park?<br /> <a href="{{#staticFileLink}}7960577067,original{{/staticFileLink}}"><img class="align-left" src="{{#staticFileLink}}7960577067,original{{/staticFileLink}}" width="86" alt="7960577067?profile=original" /></a> “If we want to view the town as more than a wintertime retreat,” Pascale says, “then the governing body should look at investing in amenities that make it a year-round community.”<br /> Amenities like a park. He says the Town Council should consider getting financing claiming the town’s last piece of open space.<br /> After 90 days on the job, Pascale has other ideas he wants to run by residents, mostly in the form of questions.</p>
<p> Some examples:<br /> “Should South Palm Beach consider regulating property rentals?”<br /> “Do we need a full-time police department?” Would residents be better off if the town contracted for police services with outside agencies?<br /> And perhaps most intriguing, as the town prepares to mark its 60th anniversary later this year, should it consider calling itself quits?<br /> “Is the continued existence of South Palm Beach in the best interests of its property owners?” That’s right, should there even be a South Palm Beach? Would residents be better off if they were annexed into another town or left unincorporated?<br /> “I know this is kind of a neutron bomb item,” Pascale said. “I’m very aware of the reaction, but this is about doing what’s best for the residents and improving the community.”<br /> Not surprisingly, Pascale has caused a relatively significant stir among the condo dwellers in a relatively short period of time.<br /> “I realize this could be controversial, and the reaction has run the gamut,” he says. “I’d say it’s been mixed at best. Some have loved an idea. Some have hated it.”<br /> Pascale will get the chance to air his ideas in detail during a special town workshop scheduled for 10 a.m. on June 4. Public comment is invited, and plenty of it is expected.<br /> Before taking the South Palm Beach job in January, Pascale worked 30 years in municipal government in Princeton, N.J., where an Ivy League community relished public debate about most anything. How that Princeton approach will work on A1A is another open question.<br /> “Some of the things might be a little out-of-the-box controversial and get people upset,” said Vice Mayor Joseph Flagello. “Some people will say some of these ideas are ridiculous. He’s getting some are-you-kidding-me responses but he’s looking at things with fresh eyes, and we need to consider what he’s saying.”<br /> Councilwoman Stella Gaddy Jordan put it this way: “It’s important that everyone comes to the workshop, and that they come with open minds and open thoughts.”<br /> Pascale wouldn't mind if Gary Cohen showed up, too.</p>
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<p><i>Note: The June 4 special meeting will happen after</i> The Coastal Star <i>deadline. Although delivery will begin on June 5, our reporting of the meeting will not be available in print until our July edition. Please check <a href="http://www.thecoastalstar.ning.com">www.thecoastalstar.ning.com</a> for our reporting on the June meeting.</i></p></div>South Palm Beach: New inn owner wants ‘neighborly’ update to hotelhttps://thecoastalstar.com/profiles/blogs/south-palm-beach-new-inn-owner-wants-neighborly-update-to-hotel2012-11-29T15:50:20.000Z2012-11-29T15:50:20.000ZMary Kate Leminghttps://thecoastalstar.com/members/MaryKateLeming769<div><p><strong>By Tim O’Meilia</strong><br /> <br />The beleaguered Palm Beach Oceanfront Inn, which has stirred South Palm Beach politics for five years, has been sold to a Delray Beach financier and investor in distressed properties. <br /> The 58-unit, two-story motel on the ocean — the only business in a town laden with condominiums — has been in foreclosure since February 2011 and its owners in Chapter 11 bankruptcy since March. <br /> Gary Cohen, CEO of Paragon Acquisition Group LLC of Boca Raton, confirmed the October sale but declined to say how much he paid. Sale documents have yet to be filed with the Palm Beach County clerk’s office. <br /> “We paid market price for it, less than their asking price,” Cohen said. The Palm Beach County Property Appraiser lists its market value at $3.8 million, but that figure is often less than the actual market. <br /> The former owners, the Paloka family, briefly listed the 54-year-old motel for sale at more than $12 million in mid-2011 but quickly withdrew it from the real estate market.<br /> “They don’t make any more beachfront, especially not in the South Palm Beach area,” Cohen said of the purchase of the struggling operation. <br /> He said he plans to revive the motel, update the rooms, improve the landscaping, examine the seawall and upgrade the restaurant and bar. Cohen said he hoped to take bids in the next month or two. <br /> “We’re exploring all possibilities on the site. We’re looking at both a hotel operation and the possibility of a development project in the future,” he said. “It’s a stunning piece of property, completely underutilized.”<br /> Cohen said his first order of business is to rebuild friendly relations with the townspeople. “We are planning to be a good neighbor first. We need to bring the good will of the property and bring it back as a good hotel,” he said.<br /> He said he planned to set up meetings with neighbors to “re-introduce everyone to the hotel.” He made an appearance at the Town Council meeting Nov. 28.<br /> “I’ve talking to so many people who said they will not eat there anymore because of the Palokas,” Cohen said.<br /> The Palokas bought the motel, then called the Palm Beach Hawaiian Inn, in 2002 for $3.3 million. Four years later, they began a quest to build a taller condo-hotel and became embroiled in town politics. <br /> Their business entity, Kosova Realty, sought approval for a $250 million, 14-story building with two underground parking levels but it was rejected the next year.<br /> A second attempt at a scaled-back 10-story, 99-unit design also was rejected in 2009.<br /> In early 2010, town voters made zoning changes more difficult by requiring a referendum. The long-running issue pitted condo owner against condo owner and became the primary town council election issue for years. <br /> In self-described biographical notes, Cohen said Paragon has acquired $100 million in distressed properties in the last year, although none in Palm Beach County. He said he is involved in a possible redevelopment in Highland Beach but nothing is imminent. Other purchases include Miami Beach property.<br /> He was a principal and founder of CMA Development Group, which focused on hotel development in Orlando and Miami. <br /> One 2006 CMA project, the Blue Rose, was to have been a 39-story, 1,500-room condo-hotel resort with a 1,000-seat performing arts theater along the International Drive entertainment district of Orlando. <br /> The $850 million project, “inspired by New York sophistication, the sizzling passion of Miami and the all night excitement of Las Vegas,” has yet to be built and Cohen pulled out several years ago.<br /> “I had a general partner who had visions of grandeur and he could not fulfill them. Hopefully I will never go to Orlando again for a project,” Cohen said with a laugh.<br /> Cohen said a decision on redeveloping the Palm Beach Oceanfront Inn property is for the future. “Right now we want to bring it back as a good hotel and restore the neighborly feel so people who live nearby will feel welcome and want to come in,” Cohen said. </p></div>