Gold Coast Property Buys Oheka Castle in $72 Million Private Sale

The 127-room estate in Huntington has a new owner.

Gold Coast Property & Management LLC purchased Oheka Castle for $72 million at a private auction in late fall. The buyer is a recently formed company operated by Ronald Browning and Paul Alflen. The transaction concluded a 90-minute bidding process at a Manhattan hotel that involved six other bidders.

The sale follows a period of financial strain for the previous owner, Gary Melius. Melius, an 82-year-old co-owner who acquired the property in 1984, filed for federal bankruptcy protection last year under Kahn Property Owner LLC. The filing was intended to delay a foreclosure sale. Melius owes approximately $60 million to a secured creditor and between $8 million and $10 million to unsecured creditors and for professional fees. He stated that the sale will clear these debts.

Melius bought the crumbling estate in 1984 and spent an estimated $60 million on improvements. He lived at the castle, which sits on 21 acres of the original 443-acre property north of Jericho Turnpike. The site includes a restaurant, a catering hall, and a hotel with 34 guest rooms. Before Melius, the estate was owned by Otto Herman Kahn, a German-born financier who built the structure between 1914 and 1919 as a summer residence.

Local reaction to the change in ownership is mixed. Gayle Snyder, head of the Cold Spring Hills Civic Association, described the community mood as a mix of sadness and uncertainty. She noted that Melius had welcomed residents to use the property for gatherings and holiday celebrations. "It’s sad that Gary is gone," Snyder said.

The new owners have not detailed their long-term plans for the estate. Alflen told the Press that he and Browning are "very excited" to take over. He added, "We’re going to keep the castle as is," addressing resident concerns about the structure's preservation. He also described the location as "a magical place" and said the group is "looking at all options" for the future.

The estate's future may be influenced by pending zoning applications. The Cold Spring Country Club, which owns adjacent property, filed an application with the town in April 2023 to build 90 condos. Christine Geed, a town spokeswoman, said the application has been submitted but the town has not heard from the club since. Snyder said there is concern the club will return to seek approval to proceed. The new owners have agreed to honor weddings booked through March 31, 2028. The castle remains on the National Register of Historic Places, a designation that may limit radical changes to the structure.