LOS ANGELES - A judge Monday approved the terms of the sale of the ailing Zsa Zsa Gabor's longtime Bel Air residence for $11 million in a deal that will allow the 96-year-old actress to remain in the residence for three years.
Los Angeles Superior Court Judge Reva Goetz gave a final nod to the deal despite the reservations of a lawyer for Gabor's daughter that the aging celebrity could end up with nothing because of the potential tax consequences of the sale.
"If she lives beyond three years it could be a disaster," said Kenneth Kossoff, who represents Constance Francesca Gabor Hilton.
But Gabor's husband and temporary conservator, Frederic Prinz von Anhalt, was upbeat about the transaction with the buyer, identified as Jade Enterprises LLC.
"It's a good deal for me and it's good for my wife," von Anhalt said. "It will give us both peace of mind."
Asked about Gabor's current health, von Anhalt replied, "She's doing fine. She'll be very happy when I tell her about this."
Von Anhalt said as soon as he got home he told his wife the news and opened a bottle of champagne.
"She was very happy. She doesn't drink much, but she did have a little sip," he said, adding the deal gave them "a little breathing room."
Gabor's right leg was amputated in January 2011 because of gangrene.
On April 5, Goetz gave von Anhalt permission to sell the home, but the judge still had to approve the final terms.
In a sworn declaration filed prior to Monday's hearing, Kossoff said that when all expenses are considered, the $3,275,000 in profits von Anhalt hopes to make from the $11 million sale of the home is unrealistic.
"That number, unfortunately, is below or much closer to zero...," Kossoff stated.
Kossoff says that if Gabor lives another three years, taxes and other costs to her could amount to about $1.1 million per year. He questioned the upside of the deal painted by von Anhalt's lawyer, William Remery.
"Since Mr. Remery estimates that the net (profit) before tax proceeds will be about $3,275,000, and since capital gains taxes will be approximately $3,339,000, should the sale be consummated by the buyer after three years (Gabor) will not net a dime from her house," Kossoff stated.
But Von Anhalt and Remery maintained the sale was necessary because a $1.15 million loan came due this month on the Bel Air Road property where Gabor has lived for nearly 40 years.
According to von Anhalt's court papers, Gabor's home is burdened by three loans totaling $5.1 million. Although the loans could be refinanced, it would cost about $5.6 million to cover the new loans, insurance, property taxes, fire insurance and interest, the conservator's court papers state.
The Hungarian-born former actress' income is less than $9,000 a month, and the bedridden woman's in-home caregiving expense is $10,000 monthly, the von Anhalt court papers stated.
LeAnne Maillian, Gabor's court-appointed attorney, also was in favor of the sale.
Von Anhalt will remain as his wife's interim caretaker at least until Aug. 21. Goetz originally appointed him to the position last July.
Gabor's daughter filed her own conservatorship petition in March 2012 after learning her mother's home was in default over missed mortgage payments and that von Anhalt had obtained a six-figure loan against his wife's equity in the property, according to a statement issued on behalf of Hilton and her attorney.
But both sides last summer reached an interim solution in favor of appointing von Anhalt as Gabor's temporary conservator.