Anyone interested in buying 203 condominium units in the Ilikai hotel being foreclosed upon will have to pony up at least $35 million.

That was the price floor established yesterday by lender iStar Financial, which sued local developer Brian Anderson to foreclose on the property after a failed plan by Anderson to renovate the Ilikai and sell units as a condotel after acquiring a big part of the iconic Waikiki building in July 2006.

IStar was the only bidder at a preliminary auction of the property held yesterday outside First Circuit Court by commissioner George Van Buren.

IStar also bid $15 million for 16 commercial units at the hotel that include the front desk, restaurant space, retail space, office space, parking and some small meeting rooms.

A confirmation hearing before a judge expected in the next 30 days or so will allow anyone willing to bid 5 percent over iStar's bids to potentially acquire the property up for auction.

Van Buren said that from the inquiries he's received, he estimates there are close to 20 serious parties interested in Anderson's stake in the Ilikai.