Italian investor Gianluca Vacchi has filed a lawsuit against developer Michael Stern, alleging fraud in connection with an investment in a North Beach development project that has not materialized. The legal complaint, submitted in December and currently paused but still active, accuses Stern and two related companies of deliberate deception.
Vacchi’s firm, GV NBV, is suing Stern along with 6345 JV LLC and 6345 Manager LLC over a $2.5 million investment tied to the Casablanca property at 6345 Collins Avenue in Miami Beach. The partnership between Vacchi and Stern began in 2024 as part of a joint venture aimed at developing projects valued at $4 billion.
The two have collaborated on several high-profile Miami developments, including Mercedes-Benz Places Miami, the Dolce & Gabbana-branded 888 Brickell tower, and the 1250 West Avenue project. Progress on some of these ventures has been slow; for example, David Martin of Terra joined Stern to lead the 1250 West Avenue development last year.
In addition to real estate projects, Vacchi partnered with Stern and others—including Anatomy Fitness owner Chris Paciello—on Sunset Padel, an indoor padel club in Miami Beach’s Sunset Harbour.
Vacchi comes from a wealthy Italian family and previously sold his stake in IMA Group—a major manufacturing company—in 2023. That year, Reuters reported that BC Partners agreed to sell its stake in IMA to BDT & MSD Partners for approximately €7 billion.
According to court documents, Vacchi claims he was misled into investing $2 million into the planned redevelopment of Casablanca through “brazen misrepresentations, fabricated or improperly modified documents, and concealment of material facts.” He says the initial investment was described as a “quick flip” and a “no lose” opportunity. The lawsuit alleges that Stern provided what he claimed was an independent valuation of the property—valuing it between $210 million and $276 million—but this valuation was actually produced by JDS’ own development director.
The suit further claims that Stern promised it would cost $150 million to buy out Casablanca’s existing interests—suggesting significant profit potential if flipped at the stated valuation. However, Vacchi alleges he never received formal documentation confirming his membership interest in 6345 JV LLC. Instead, Stern reportedly argued that another entity had invested instead of GV NBV LLC—a move which allegedly reduced Vacchi’s effective stake.
Neither attorney Jason Giller nor Michael Stern commented on the ongoing litigation.
Vacchi’s complaint states: “yet another scam conjured up by Stern.” It also references JDSPulse.com—a website about which Stern himself filed suit last year for alleged defamation—claiming that information from this site supports allegations against him regarding prior disputes with investors.
The lawsuit accuses Stern of hiding “an extensive history of defrauding his investors forcing them to pursue legal actions like this one just to get their money back.” It continues: “To make matters worse, Stern also hid that he had a long history of artificially prolonging those legal battles through abusive and deceptive litigation tactics, which any reasonable investor like GV NBV would have wanted to know when deciding whether to invest with Stern or any entity that he controls,” according to the lawsuit.
A source told The Real Deal that an institutional investor may be buying out Vacchi’s positions amid uncertainty about how both parties will proceed if litigation continues.
