Published by The Real Deal South Florida, January 28, 2021
Melvin Capital Management founder Gabe Plotkin, a major short-seller of GameStop ($GME), is proposing to knock down one of the Miami Beach homes he purchased last year and expand his waterfront property.
A throng of rookie investors on Reddit drove up the stock price of GameStop, resulting in massive losses for Melvin Capital. Plotkin told CNBC this week that the hedge fund closed out its position in GameStop and disputed claims that Melvin Capital would be filing for bankruptcy. The Wall Street Journal reported Monday that Steve Cohen’s Point72 Asset Management and Ken Griffin’s Citadel are pumping $2.75 billion into Melvin Capital.
Plotkin paid $44 million for the two adjacent homes at 6342 and 6360 North Bay Road in November, The Real Deal revealed last year. Now, he’s planning to knock down the 1935 house that he bought for $12 million and replace it with a lighted tennis court.
Plotkin’s attorney is expected to go before the Miami Beach Design Review Board next week. Plans filed with the city show that Plotkin plans to keep the mansion at 6360 North Bay Road and replace the waterfront house next door with amenity courts, a new 1,316-square-foot cabana, a children’s playground and open space.
Plotkin is seeking variance requests related to the light poles for the tennis court, side setbacks and the construction of a storage area.
High-end home sales along North Bay Road have soared in recent months. Plotkin’s new neighbors include billionaire hedge fund manager Dan Loeb, Cindy Crawford and Rande Gerber, and Karlie Kloss and Josh Kushner.