Hamptons Mansion Auction Set: Libbie Mugrabi estate faces $11m court sale; experts warn on equity hit

Socialite Libbie Mugrabi's Bridgehampton mansion will be sold in a court-ordered public auction starting at $11 million on August 28.

The auction follows an unpaid $3.5 million loan secured against the property, triggering legal action from the lender.

The 10,687-square-foot mansion on seven acres was originally listed for $25 million and later reduced to $19 million before failing to sell privately.

Mugrabi received the property as part of a $100 million divorce settlement from billionaire art dealer David Mugrabi.

Buyers must pay cash and place a $2 million deposit; the sale is expected to cover the loan and penalties.