By Mike Pesce & Ron Lanzillotta, The Pesce & Lanzillotta Group, Berkshire Hathaway HomeServices Laffey International Realty

Few properties on Long Island are as well known as Oheka Castle. The French-style chateau financier Otto Kahn built in the hills of the Town of Huntington has hosted generations of weddings, proms and film shoots. On Tuesday, October 27, it went to auction, and it drew a winning bid of $72 million.

The sale isn't final yet, and the next few months will decide who controls one of the Gold Coast's signature estates and what happens to a town-approved condominium plan on its grounds. If you own a home in Huntington, Cold Spring Harbor or the surrounding hills, or you're browsing listings in the area, here's what happened and why it matters.

What Happened at the Auction

Concierge Auctions ran the sale with The Modlin Group at The Dominick hotel in Manhattan. The New York Post reported seven participants and a winning bid of $72 million plus a buyer's premium. Long Island Business News, citing industry sources, put the bid at $71.8 million.

The winning bidders are Ronald Browning and Paul Alflen, partners in Gold Coast Property & Estate Management, a newly formed company based in Carle Place, according to LIBN. Alflen told LIBN the plans are still preliminary but include preserving the castle: "We're going to leave the castle as it is and make sure it keeps its historical presence."

The sale still needs court approval. The property is being sold through a long-running foreclosure and Chapter 11 bankruptcy case, and ABC7 and LI Parks News (citing Newsday) reported that a U.S. Bankruptcy Court confirmation hearing is expected Thursday, October 29, in Central Islip. LIBN reported that the winning bidders must put down about 16 percent of the price sometime next week.

How Oheka Got Here

The financial trouble goes back about a decade. LIBN reports that U.S. Bank National Association started the first foreclosure action in June 2016, after longtime owner Gary Melius defaulted on a $28 million loan on the roughly 22-acre property. Taconic Capital Advisors later bought the debt, which LIBN says has grown to about $61 million with interest and penalties. That figure was Taconic's starting credit bid on Tuesday.

A company Melius controls filed for Chapter 11 protection on July 31, 2025, a week before a scheduled foreclosure auction, according to LI Parks News. The bankruptcy court later let the lender move ahead with this week's sale.

Kahn built the estate between 1914 and 1919, according to the Town of Huntington, and the Olmsted Brothers designed its formal gardens, according to the National Park Service. The castle was abandoned and crumbling when Melius took ownership in 1984 and restored it, and it has been on the National Register of Historic Places since 2004.

The 95-Condo Question

For neighbors, the biggest open question isn't the castle. It's the land around it. The property comes with a 2023 Town of Huntington zone change that allows a 95-unit condominium project on about 5 acres of the estate, LIBN and LI Parks News report. The Post reported that those development rights were part of what made the auction attractive to bidders.

That project isn't a done deal. LI Parks News, citing court records, reports that it still needs Planning Board approval and a way in, either over East Gate Drive, a road owned by neighboring Cold Spring Country Club, or through another entrance. The club sued to overturn the zone change, lost in 2023 and appealed.

Neighbors are watching closely. Local civic leader Gayle Snyder told NBC New York that she and her neighbors now oppose the approved condo plan. "We would love if it could be financially viable without additional development," she said.

There's also a separate piece of the puzzle. LIBN reports that Taconic bought a 13.3-acre parcel from the adjacent country club in December 2025 for $14 million. That parcel was not part of this auction, and it's not clear whether it will be offered to the new owners.

What It Means for Homeowners and Sellers

For homeowners near the estate, the practical takeaway is simple: nothing changes overnight. Under the court-ordered auction terms, the new owners must honor wedding and event bookings through at least March 2028, according to the Post. ABC7 reported that officials expect the castle to keep operating as usual.

Any condo construction would still have to go through the Town's Planning Board process, which includes public review. If you live nearby, it's worth following that process and the Cold Spring Country Club appeal. Both could affect traffic, views and the character of the surrounding streets.

If you're thinking of selling in the hills around Oheka, a high-profile local story like this can prompt buyer questions. Be ready to explain what's approved, what isn't, and how close your street actually is to the estate. We can help you put that information together.

What It Means for Buyers

Buyers drawn to Huntington and Cold Spring Harbor often come for estate-area privacy, wooded lots and proximity to landmarks like Oheka. Before you make an offer on a home near the property:

  • Check the address against the site. Look at where a home sits relative to the estate's entrances and the approved condo area, not just the castle itself.
  • Ask about pending land-use applications. Your attorney can check Town of Huntington records for Planning Board filings that may affect nearby parcels.
  • Confirm the school district. Homes in the hills around Oheka can fall in different districts, so verify with the full property address.

"Oheka has been part of the fabric of Huntington and Cold Spring Harbor for as long as any of us can remember, and it's natural for neighbors to have questions about what comes next. Whether you're curious how this might touch your own street or you're thinking about a move, Mike and I are always happy to sit down, talk it through and help you make sense of it."

— Ron Lanzillotta, The Pesce & Lanzillotta Group

Thinking About Buying or Selling in Huntington or Cold Spring Harbor?

Big headlines are a good reason to take a fresh look at your own plans. Mike and Ron can pull recent sales near you, explain how local developments may factor into buyer interest, and help you decide on timing. Reach Mike Pesce or Ron Lanzillotta at 516.888.9711 or info@pl-team.com.

Mike Pesce & Ron Lanzillotta, The Pesce & Lanzillotta Group | Berkshire Hathaway HomeServices Laffey International Realty | 8223 Jericho Turnpike, Woodbury | 516.888.9711 | info@pl-team.com

Explore our Huntington guide and homes for sale and Cold Spring Harbor guide and homes for sale, browse luxury listings, or read our Q3 2026 Long Island market report. For a personal review of your property, request a home valuation or contact Mike and Ron.

Sources

Photo credits

Oheka Castle, Cold Spring Hills, Town of Huntington, New York. Photo: Phillip Ennis Photography, uploaded by OhekaCastleNY / Wikimedia Commons, CC BY-SA 4.0. Image extracted from the supplied article and resized; may be cropped for display.