Brokers in a position to know tell GlobeSt.com the new ownerplans to demolish the 26-acre property at 105 Bayshore Dr. andredevelop the landmark site into condos, hotels and a new spa. ButOlympia Development president William Touloumis says only cosmeticchanges are planned for the resort.

MeriStar, which owns 73 full-service hotels totaling 20,319rooms in 22 states, sold Safety Harbor Resort & Spa as part ofits continuing disposition program. "This is an excellent propertywith interesting redevelopment potential but it did not fit ourlong-term strategy of owning larger, branded properties in majormarkets with high barriers to new competition and significantgrowth potential," says MeriStar chairman and CEO. Paul W.Whetsell.

MeriStar sold 36 hotels in 2003 and 2004 for cash proceeds of$284 million. The Plascencia Group of Tampa represented MeriStar inthe sale.