Unicorp continues buying Colony units

Correction: This article has been updated to reflect that the Town Commission extended the Colony’s grandfathered tourism units through 2018.

During a Longboat Key Town Commission meeting last year, developer Chuck Whittall said he has spent $27 million in planning the redevelopment of the Colony Beach & Tennis Resort. Last month, his firm continued investment in the shuttered property with the purchase of five units for a combined $628,000.

Despite uncertainty about a March 14 referendum that would allow Unicorp National Developments to seek more density in its vision for the Colony, the company bought two units for $165,000 each, two units for $84,000 and another two for $65,000 each in December, according to documents filed with the Sarasota Clerk of the Court. Since 2014, Unicorp has purchased 14 units for a combined $808,000.

The more units Unicorp owns, the more clout the firm has in negotiations over a development agreement between Unicorp and Colony Beach & Tennis Resort Association, which requires 91% of unit owners to approve a deal that offers an average buyout of $186,000. While the latest round of unit sales don’t match that offer, they’re significantly greater than the $20,000 and $40,000 deals Unicorp cut with 13 owners in 2014.

Still, Tennessee investor Andy Adams, who remains in control of a 29% share of votes, has not yet officially announced support for the agreement.

Under that contract, owners would received between $167,000 and $368,000 at closing, and Unicorp would move forward with $1 billion plans for 237 tourism units and 180 condominium units, plus amenities including a lazy river, saltwater swimming lagoons and beach-view dining, as was the former Monkey Room.

Previously, Unicorp spent $22 million to acquire the 2.3-acre recreational at the center of the former resort, which allowed the firm to begin demolition.

Next week, the Town Commission will consider a request to extend 129 of its grandfathered tourism units to maintain a total 237 allowable tourism units on the 18-acre parcel. Last summer, commissioners denied a request for an extension through Feb. 15, 2018, and settled on Jan. 9, 2017. But on Sept. 12, the Town Commission pushed the deadline to June 30, 2018.