The South Beach hotel that Nicky Hilton had hoped to reinvent is now bankrupt and heading to the auction block. After a failed conversion to condos, a federal judge has ordered the oceanfront Breakwater and Edison properties be sold to the highest bidder to satisfy a mortgage and penalty debt of $60 million. Hilton signed a licensing deal last year to turn the 95-room complex into a boutique hotel with news tickers in the elevators, a signature scent and a $5,000-a-night penthouse designed by Roberto Cavalli.
