/ / / /

Has Nicky O Started a Downward Spiral of Condo Hotels?

March 29, 2007 at 12:08 PM | by | ()

"Falor went bankrupt, what a loser! Cross him off my Blackberry!"

Nicky Hilton's disastrous Nicky O hotel plan has forced her developer Robert Falor and his Falor Companies to file for bankruptcy.

Oaktree lenders are suing Falor's Company for $36 million for failing to a) finish Nicky O and for b) failing to get celebs like Scott Storch or Pharrell Williams, or another "celebrity reasonably satisfactory to the Mezzanine Lender" to buy condos in the building.

So now that Oaktree's pulled out of the deal, Falor can't afford to renovate the property into a hotel-condo, regardless of Nicky O's presence. He's filing for bankrupty and plans to just make a regular old hotel sans condos. Key word: plans which is highly unlikely. He's probably hoping for someone to swoop in and buy it off of him. Maybe Clooney?

Either way, Nicky O got all sorts of media attention last fall* with Nicky making the usual press rounds. But it has turned out to be an embarrassment for everyone involved and Nicky hasn't even publicly commented on the destruction she left behind.

Perhaps the only person coming out on top is Mark Zilbert, who was initially assigned to sell the condo units of the proposed Nicky O South Beach.

But he found they weren't enamored by the idea of hotel ownership, no matter whose name was on the front door. "We were selling 300-square-foot hotel rooms," Zilbert said. "Celebrity clients are not interested in condo-hotels at all."

Zilbert will never sell condo-hotels to celebrities in this town again! By his own accord of course. Meanwhile, another hotel broker Guy Trusty (whatta name!) says Falor has given the hotel-model a bad name, thanks to Nicky O and some of his other failed condo-hotel ventures in South Florida.

All the while, Nicky Hilton's dating David Katzenberg and she and her tampon are hitting the Hollywood club scene nightly. Just another day in Hollywood folks!

*We wanna know---why hasn't People Magazine run an article on this yet since they were so gung-ho about Nicky's announcement last summer? Are they afraid they won't have exclusive rights to Paris' "How I Deal with Genital Herpes" story?

Related Stories:
· Would-be 'Nicky O' hotels file for bankruptcy [Miami Herald]
· The Rise and Fall of Nicky O South Beach [HotelChatter]

Archived Comments:

Re: Has Nicky O Started a Downward Spiral of Condo

I'm sure there's something too simple about my thought process, but...WHO would ever believe that Nicky Hilton's name is enough to sell anything besides a cheap handbag? Seriously?! STOO-PID. This was doomed from the start.

Did anyone even buy those handbags?

But I am even more curious about what happened with NBA baller Tracy McGrady. It was reported that he did purchase a condo in Nicky O South Beach. Hope he got his money back!

Nicky O Website

I expected this coming... Falor's sueing Nicky plan turned around and backfired. Anyway, I think Nicky O will come back from the dead... some how. There were rumors that Nicky was looking at the Angler's Hotel in SoBe... and now when you go to www.NickyOSouthBeach.com it redirects you to the Royal Palms hotel in SoBe... kind of wierd, don't you think? Its not longer the "Forbidden 404" website... anyways time will tell what Ms. Hilton's current plans are.