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Provided by Wikipedia:
South Palm Beach is a town located in Palm Beach County, Florida, United States. The town is situated on a barrier island between the Atlantic Ocean and the Intracoastal Waterway. As of 2004, the population recorded by the U.S. Census Bureau was 1,536.
Originally built around 1964, the two-story 58-room “Palm Beach Oceanfront Inn” and its ocean-front restaurant “Tides Bar and Grille”, located at 3550 South Ocean Boulevard, make up the only commercial business establishment within the town of South Palm Beach. A controversial proposal by the Paloka family owned-and-operated Kosova Realty Corporation to replace the inn with a luxury resort-style 12-story condominium-hotel built over two stories of parking was unanimously rejected by the Town Council on October 30, 2007. The established comprehensive plan limits new buildings to six-stories over one-level of parking.
On September 18, 2009, the Treasure Coast Regional Planning Council meeting expressed concerns about the redevelopment and recommended that the Town of Palm Beach should respond to negative opinions by its citizens prior to adoption of the amendments, as well as ensure that development approval conditions address problems with the use, height limits, and negative impacts on the beaches.
The property has been in foreclosure since February 2011, and its owners in Chapter 11 bankruptcy since March 2011. In November 2012, the struggling operation was purchased by Paragon Acquisition Group of Boca Raton, a distressed property development company, with plans to improve and revive the underutilized facility, as well as “possibility of a development project in the future.” The purchase price for the 1.1-acre (0.4 ha) site was $8.25 million and although the property has received minor renovations and is being managed as a hotel and restaurant, the long-term prospects for it are for condominiums according to the CEO of Paragon. The current zoning for oceanfront property in the town allows 33 units per acre, while a more dense project would require a referendum.[