The most costly home in America could be up for sale in January at auction for $250 million. This is half the price it received when it was put in bankruptcy protection. 

According to the Los Angeles Times, developers plan to hire two luxury home buyers in order for the Bel Air mega-mansion of 105,000 feet called ‘The One’ to be listed at $250 million. 

Crestlloyd Manager Lawrence Perkins said that although they were still working backwards strategically, the listed price for Crestlloyd will likely be $250 million. “Our aim is to make this property as valuable and affordable to the few people who can afford it.” 

The Bel Air mega-mansion was poised to be the most expensive home sold in America – with a cool $500 million price tag – before developer Nile Niami filed for bankruptcy and stopped the sale in October due to a dispute between him and lender Hankey Capital, which belongs to billionaire Don Hankey. 

Niami is known for being ‘The King Of LA Mega-Mansions’ and filed Chapter 11 bankruptcy protection in Crestlloyd after defaulting on a Hankey Capital $106 million loan.

'The One' mansion in Bel Air, California, would have been the most expensive mansion sold in America at an estimated $500 million. The home's developer, Crestlloyd, filed for bankruptcy

At $500 million, ‘The One’ in Bel Air, California would have been America’s most costly mansion. Crestlloyd was the developer of the house and filed for bankruptcy

Developer Nile Niami said he plans on hiring two luxury home sellers to list the 105,000 square-feet Bel Air mega mansion dubbed 'The One' for $250 million

Nile Niami, developer said that he will hire two luxury home-sellers to sell the Bel Air megamansion of 105,000 feet that he calls ‘The One.’ It is expected to be listed for $250 million.

The floating lounge next to the private nightclub at 'The One' Bel Air mega mansion, set to go up for auction in January

 The floating lounge next to the private nightclub at ‘The One’ Bel Air mega mansion, set to go up for auction in January 

A view of the dining room with 10,000 bottle wine cellar at 'The One'- a 105,000 square-foot mega mansion in Bel Air

The view from the dining room at The One, an 115,000-square-foot super-mansion in Bel Air.

Niami acquired ‘The One’ in 2012. Over the nine-year period, he has promised to build America’s most luxurious home and make a profit. But he couldn’t finish his construction or find someone who would buy it.

The original goal was to complete the project in 2017. However, construction delays and financial problems have caused the estate to lose its nine bedrooms.

This estate has a private theatre, a bowling alley and multiple swimming pools. It also includes an underground garage that houses two turntables.

This mansion had at least 20 bedrooms.

Don Hankey

Nile Niami

Right, Nile Niami defaulted upon a debt of $106 million owned by billionaire Don Hankey from Hankey Capital. Hankey tried to get the property sold at an LA County auction. 

An exterior view of The One Bel Air, a 105,000-square-foot mansion with a sky deck and putting green, night club, several swimming pools, a 50-seat theater, a four-lane bowling alley and more

A view from the exterior of The One Bel Air. This 105,000-square foot mansion has a skydeck and putting green.

An aerial view of the guest house and space for a tennis court at the 105,000 square-feet Bel Air mega mansion 'The One'

Aerial view of The One, Bel Air’s mega-mansion measuring 105,000 sq.ft.

The family living room inside the nine-bedroom Bel-Air estate that was originally slated to be finished in 2017, but the construction has been set back by a series of financing and building problems

Although the original construction of the Bel-Air estate, which had nine bedrooms and was due to complete in 2017, the construction is now delayed by financing problems.

An exterior view of a sculpture by Simone Cenedese at 'The One'- the Bel Air hom

Exterior view of Simone Cenedese’s sculpture at “The One”, the Bel Air home that was expected to sell for the highest price in America

Investors tried to recover costs from Niami’s over $100M debt by placing the home in receivership. 

The Los Angeles County Superior Court named Ted Lanes, of Lanes Management, as the receiver to prepare the 8-acre property for sale once all the permits were granted. 

The Los Angeles Times reports that Lanes estimates it could cost as much as $10 million, and take up to one year to complete the house. 

Perkins, who is a SierraConstellation Partners turnaround expert, said to the Bankruptcy Court Crestlloyd has no plans for anyone. The home will most likely be sold at its current state.  

Perkins stated to the Times, that Perkins had changed his mind after speaking with experts in real estate who suggested it wouldn’t make sense to invest money to finish the house when someone would likely customize it.   

According to him, “The juice isn’t worth it to finish it because somebody’s going to have to do a lot more work anyway.”

Perkins told the court that Crestlloyd is working with real estate agent Aaron Kirman of Compass and brokerage Williams & Williams Estates Group to market and list the home, the Times reported. 

Perkins said if a buyer was willing to pay a ‘super-premium’ price for the property and the auction would be forced to be called off that would be a ‘happy surprise.’

Hankey, a billionaire who serves as the CEO of the Hankey Group, said he wanted to recoup the millions he invested in Niami's The One mansion development

Hankey is a billionaire and serves as CEO of Hankey Group. He stated that he wants to recover the millions he spent in Niami’s The One Mansion Development.

Developer Nile Niami (pictured) was once known as the most successful mega-mansion developer in LA

Nile Niami, developer of the mega-mansions in Los Angeles (pictured), was once known to be one of the most prominent developers.

A view of the womens walk-in closet in the 4,000-square master bedroom with private pool at 'The One'

View of the walk-in women’s closet in The One’s 4,000-square Master Bedroom with Private Pool.

A view of a 50-seat theater at 'The One' Bel Air mansion that is set to go up for auction after it was placed in bankruptcy protection

After it has been placed under bankruptcy protection, this view shows a 50-seat theatre at “The One” Bel Air mansion. It is now up for sale

A view of the library with balcony at 'The One' purchased by Niami in 2012 who has spent the last nine years promising to build the grandest home in the U.S. and flip it for a profit

View of The One Library with Balcony. Niami bought it in 2012 and has been promising for the past nine years to make the U.S. his greatest home, then flip it for profit.

An interior view of guest house at The One Bel Air, which is set to go up for auction in January for $250 million

A view inside the guesthouse at The One Bel Air. It will be up for bidding in January for $250 Million 

Perkins stated to the Times that his aim is to sell the house and hold an auction in order to stop multipole buyers turning down the property.

He said, “What we don’t want is for it to drag on.”  

Hankey claimed that Niami was too busy to leave the house during the pandemic.

Niami was twice cited by Los Angeles City for illegal COVID parties held at different houses between April and Aug of 2013. These complaints were responsible for about a third all complaints filed in Los Angeles during that time. received reports from neighbors that they felt as though they were living in a club and that the neighborhood was crowded with ‘punks.’ The ‘punks” were taken to their houses on buses.

Niami denied organising the parties, and stated that he would cooperate with the city.

He proposed to Niami living in The One after he defaulted on Hankey’s debt.

The home was expected to sale for $164 million at a LA County Superior Court auction

It was estimated that the home would sell for $164 Million at an auction by LA County Superior Court

The unfinished mansion has its own bowling alley

Unfinished mansion boasts its own bowling alley

Niami had plans to rent the some spaces of the home off as an entertainment venue

Niami had planned to rent some of the rooms as an entertainment venue

Niami had even planned to convert the house into a commercial space and film studio, allowing it to be used to host start-ups and new Netflix series.

Hankey declined the offer.

Hankey, along with several lenders, owe tens to millions of dollars. They went to court to claim they weren’t getting paid. The home was placed into receivership in September in order to sell it and recover the losses of the lenders.

Bloomberg reported that Crestlloyd and Niami complained to Ted Lanes about the undervaluation of the property. The home was likely to sell for $164 Million in an Oct 17 auction.

Crestlloyd stated in bankruptcy that it believes the receiver has hindered efforts to finish the property and to sell, market, show, or transfer the property as it is now.

Hankey pushed for an auction instead of the sale, despite the fact that the sale was approved by two brokers for $225 million. Joseph Englanoff, a fellow lender, sought a temporary restraining or order to stop the sale.

Englanoff of Yogi Securities Holdings, who lent Crestlloyd $20.2 million in 2018, accused Hankey that he tried to seize the mansion by auctioning it off or perhaps trying to keep all proceeds for himself.