Beachfront condos are being built on a piece of property owned by a California billionaire, but his owners have already lost the rights to it, a property manager said Tuesday.
According to a lease between developer John Chilton and his property manager, Chilton was renting the property out for $600,000 a year until 2020, but in April 2018 he told the property manager he wanted to sell it and moved his belongings to a different apartment building on the property, where they now are.
Chilton has said that the sale of the property would not affect his ability to use the beachfront rental property to build condos, and his new building would be owned by his company, Vivid Realty.
The property manager of the Beachfront Hotel & Casino, a condo and hotel building on a corner lot at the edge of the town of Paradise, Fla., said Chilton sold his property in June 2018 and put it up for sale on June 6.
He did not give an estimate on the value of the condo building, which is scheduled to be torn down to make way for condos.
Chilton has no history of renting out properties on vacation properties and has said he was not aware of any problems with the property.
In July 2018, the property management company contacted Chilton to inquire about a rental agreement and offered him $500,000 if he sold the building, according to a copy of the lease.
Chatham declined the offer, and the property was subsequently torn down on Aug. 3, 2018, according the lease, which was obtained by The Associated Press.
Vivid Reals management company said Chincas company had no obligation to pay any money for the property or to the company or its staff, the statement said.
The company did not respond to emails seeking comment.
Chincas spokesman Brian Jones said he had no comment on the lease or the sale.
He did not immediately return an email seeking comment from the AP.
The condo is located in a strip mall in Paradise, which has been plagued by high crime and a string of deaths and injuries in recent years.
The hotel has not yet been completed.
The owners of the beachside resort in Paradise have been trying to keep the condo, which includes a pool and a spa, under lease for at least three years, said David Lacey, who runs the Paradise Beach Resort, which included the condo.
But Chilton’s ownership of the resort has been challenged by other condo developers, who say he should be allowed to tear down the condo and rebuild the resort, according a legal brief filed in the case by Vivid Resorts.
Childos owner, Joe Vardon, filed a lawsuit in March 2018 against Chilton, claiming that Chilton violated the lease by failing to pay rent on the condo property and failing to deliver on his promise to demolish the resort.
Chinchilla said that he was aware of the lawsuit, but did not have a comment when reached by The AP.
Chilo’s attorney, Michael Geller, said he did not know whether Chilton had filed the lawsuit or if he was representing himself in court.
Geller said Chilson’s lease with Vivid resold the condo in the middle of the legal action.
Chilson is also suing Chilton for violating the lease and for failing to keep his promise of demolishing the resort as a condition of the sale, Geller wrote in a filing Tuesday.