$6.5 Million Deal Would Build Hotel In Downtown Ocean City: Report

OCEAN CITY, NJ — A developer has plans to remake a former bank building in downtown Ocean City into the latest boutique hotel in a chain, according to a report.

Icona Resorts has entered a $6.5 million deal to buy 801 Asbury Ave. and remake it into a hotel, according to the Press of Atlantic City.

“We have a signed agreement with the trustee. The only thing we’re waiting for is approval,” Icona chairman and CEO Eustace Mita told the outlet.

It would require $15 to $20 million to remake the building into a hotel, with a restaurant and retail on the first floor and a parking lot behind the building, the Press reported.

It would also require a use variance, as hotels are not permitted in the downtown area.

The city is also interested in purchasing the property, according to the report. Inspections are wrapping up on the building ahead of the city making an offer to purchase, the outlet said.

Once the headquarters of First National Bank, the historic six-story building built in 1925 now serves as offices and retail, and its owner is in bankruptcy, officials said at an August City Council meeting.

Icona Resorts is a familiar name in Cape May County and Ocean City, partnering with Gillian's Wonderland Pier in 2021 to secure the future of the amusement park ahead of foreclosure.

It has luxury hotels throughout the county. This hotel would be the second Icona boutique hotel; the other is in Spring Lake in Monmouth County, the report said.

Visit the Press of Atlantic City for the full report.