For certain assets and markets, we are witnessing demand exceed supply and through our online auction marketing program an open, fair, transparent and competitive bidding environment is established to ensure the ownership that the property is not potentially undervalued in a conventional sale. Due to increasing market demand for this client’s asset, the seller’s pre-established reserve was exceeded 2x. Often for vacant buildings, such as the below referenced property, there is demand aware/interested but there is no sense of urgency to acquire in a conventional sales program due to extended time on market and multiple list price reductions. The markets attitude is “The property has been on the market for 6+ months with multiple list price reductions, I will just wait and see what the next deal is”. The auction process and our sealed bid format is what creates the neccesary sense of urgency to convert the market demand into buyers, in fear that they will miss out on the acquisition.
We are currently structuring our 4Q/YE disposition throughout the US, please let us know if you would like to further discuss the implementation of our strategy for your property portfolio.
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