09/17/2013 11:14 am ET Updated Nov 17, 2013

Versace Mansion Bought For $41.5 Million By Hotel Group (PHOTOS, VIDEO)

The fate of Gianni Versace's former South Beach mansion is finally sealed: It will live on as a hotel.

Tuesday morning, Casa Casuarina, the 1930s-era Mediterranean-style estate on Ocean Drive where the Italian designer lived and died, was put up for auction with an opening bid of $25 million.

It was eventually bought for $41.5 million, according to real estate team The Jills.

The lucky winners are Jordache Enterprises, a hotel group behind South Beach's Hotel Ocean, Hotel Barcelona, Hotel Henrosa, the Breakwater, and the Thompson, reports NBC6.

(Story continues after slideshow.)

Versace Mansion Auction

The final price tag is a far cry from the original asking price of $125 million when the house was first put on the market back in June.

Rumors swirled that David Beckham, Donald Trump, and Drake had eyes on the mansion, which boasts a gold-inlaid pool, 10 bedrooms, and where Madonna and Princess Diana once slept.

According to Miami New Times, the hotel group was bidding against Eric Trump and Glen Straub of Palm Beach Polo and Country Club.

Joe Nakash, of Jordache Enterprises and the winning bidder, told the Miami Herald he wants "to ask for the right to use the Versace name and operate the mansion as a hotel in conjunction with the Victor," which he also owns.

This is a developing story.



Versace Mansion