In what may prove to become the largest real estate deal in the history of Seaside Heights, an entire city block that has long been occupied by a landmark hotel is up for sale, and expected to be completely redeveloped by its eventual new owner.
The property of the Hershey Motel, which spans the entirety of the area between the Boulevard and N. Central Avenue, between Sampson and Carteret avenues, is being offered for sale at $25 million. Having operated for 62 years, the massive hotel property’s owners are retiring from the business and selling the land, said real estate broker Mike Loundy, who is handling the sale of the property.
The 79,000 square foot parcel of barrier island land – just under 2 acres in area – houses the iconic hotel, which boasts 109 rooms, a pub and restaurant, two pools and an arcade. It is divided between four buildings and located within the Residential-Business zone. The property has been on the market for only a few weeks.
With Seaside Heights redevelopment in overdrive, the prospect of such a wide swath of land becoming available is sure to ignite a market that has already seen numerous motels demolished in favor of development ranging from single-family homes to ultra-modern mixed use properties in line with a long-term vision for the Boulevard business district.
“The entire city block is a very exciting property, being located one block to the prestigious North End beaches,” said Loundy.
The future of the property is populated with diverse possibilities given its size. There is enough room to build a new, larger hotel or a condominium complex with about 65 new units or townhouses. Constructing about 40 single family homes is another option. A mixed-use complex, the type of construction has garnered significant praise from local officials in recent years, is another major possibility.
“We have interested parties considering building a mixed use project with over 250 new hotel rooms, residences, restaurants and bars,” said Loundy.
Such a facility could include “wedding party style” rooms with a capacity of up to 350 people on upper floors, plus stores at the street level, he said.
As it currently stands, the $24,999,900 asking price includes the right to the business’s name, its liquor license, equipment, inventory, communications systems and signage.
The Hershey Motel, if sold, would be the latest major development project in town. Last week, two motels – including one across Central Avenue from Hershey – were demolished in favor of new residential development. Meanwhile, dozens of other redevelopment projects have either been approved or are working their way through the planning process. It is unlikely, however, that any will match the sheer size of the Hershey property – or come with its location so anchored in borough history.