The owners of the Palace Hotel Guam gave a Korean group until Sept. 29 to agree to the purchase of the property.

That deal will close for an amount “over $15 million ” according to a reliable Journal source.

Second in line to purchase the hotel if the offer from Korea falls through is a California group. The second bidding group the Journal source said “are investors — they are not in the hospitality industry.”

The source said the Korean group is acting through a Guam Realtor.

The Palace is owned by Indonesian investors Triskeles Holdings Ltd. Triskeles owns hotels in North America Malaysia and Indonesia and has holdings in the paper products industry.

If the sale closes at more than $15 million it will be significantly higher than the price the hotel sold for on Dec. 19 2001 reported to be between $7 million to $10 million (See “Make me an offer ” in the March 2003 issue of Guam Business.)

Outside of the main facility the property also features a chapel and several acres of land. The hotel has 403 rooms and about 160 staff.

Popular Chamorro cuisine restaurant Y’ Kusina relocated to the Palace Hotel Guam in February. Restaurant owners believed the move would position Y’ Kusina to capitalize on tourist demand for authentic Chamorro food.

Victor T. Hoon general manager at the Palace declined to comment for this story.

— Maureen N. Maratita contributed to this story