The flaw, however, with the traditional auction model is that it excludes or limits participation by the broker – the one party that best understands the local real estate market and buyer pool.
Because of this, CB Richard Ellis, Cushman & Wakefield, Voit Commercial Brokerage and Collins Commercial have selected AuctionPoint.com, a new online broker-centric auction platform, to sell commercial properties in Southern California.
Using the AuctionPoint platform, these brokerage firms have created unique online auction sites – each site dedicated to a specific property auction – which will open for bidder registration on August 10 with auctions taking place in September.
“It’s been frustrating trying to bring buyers and sellers together in this market, and while I believe in the value of the auction model, I haven’t been able to utilize existing auction platforms until now because they disengage the broker,” says
Gary Stache, (top right photo) Executive Vice President of CB Richard Ellis.
“We chose AuctionPoint because it gives the broker – the market expert – control over the entire auction process, including marketing the auction to the right pool of buyers.
"For commercial real estate, holding the auction online instead of in a hotel ballroom makes perfect sense, and we believe that AuctionPoint’s technology will be the next wave solution for sellers of distressed properties.”
“AuctionPoint will change the way the commercial real estate industry does business," says Joseph Tang, (middle right photo) co-founder of AuctionPoint.
'This technology solution was developed specifically for use by brokerage firms, to address current market conditions. It creates an efficient sales process for brokers while leveling the playing field for all bidder-participants so that a fair market value is achieved.
"Keeping the brokers at the center of the process is the key to running successful auc
tions, and having several leading brokerage firms on board utilizing AuctionPoint is a testament to the advantages of our model."
AuctionPoint’s robust functionality takes into account the complexities of commercial real estate transactions, accommodating everything from detailed property information to extensive due diligence materials, says Keith Yang, (middle left photo)
During the registration period, brokers can review the list of registered bidders and qualify bidders to participate.
On auction day, brokers know which bidders are in the virtual auction room, when they entered and can view the full bidding history.
Each bidder is also aware of the current high bid, creating a completely transparent process. “Unlike other auction models, AuctionPoint empowers local brokers to run their own auctions,” said co-founder of AuctionPoint," says Yang. "Brokers understand their own markets and are best suited to find the right buyers to participate in the auction.”
Below are details on the September commercial property auctions:
---September 15: 3,774 square foot, turn-key, flex-industrial condominium located at 1382 Valencia Avenue, Unit J, in Tustin, California. Minimum bid for this property is $375,000, or $99 per square foot. This property is being auctioned by Chris Bates, David Bolt, Andrew Morrow and Matt Christensen of CB Richard Ellis.
---September 16: 7,405 square foot, turn-key, flex-industrial condominium located at 16782 Von Karman Avenue, Unit 24, in Irvine, California. Minimum bid for this property is $715,000, or $97 per square foot. This property is being auctioned by Walter Frome and Bill Livesay of Voit Commercial Brokerage.
---September 17: 8,462 square foot, turn-key, office condominium located at 16782 Von Karman Avenue, Unit 12, in Irvine, California. Minimum bid for this property is $1,105,000, or $131 per square foot. This property is being auctioned by Jeff Chiate, Rick Ellison, Todd Martens and Peter Sowa of Cushman & Wakefield.
---September 18: 9,723 square foot, single-tenant, leased investment located at 16782 Von Karman Avenue, Unit 25, in Irvine, California. Minimum bid for this property is $1,165,000, or $120 per square foot, with a 12% cap rate. This property is being auctioned by Gary Stache, Pat Scruggs, John Read and Anthony DeLorenzo of CB Richard Ellis.
---September 18: 20,751 square foot, turn-key, flex-industrial condominium located at 7530 Jurupa Avenue, Units 101-103, in Riverside, California. Minimum bid for this property is $1,992,000, or $96 per square foot. This property is being auctioned by Mike Collins, Dan Foye and Noah Samarin of Collins Commercial.
NEW YORK, NY – The New York office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has secured $47 million in financing for Cortlandt Towne Center, (top left photo) a 640,000-square-foot, regional shopping center in northwestern Westchester County, New York.
Acacia Realty Trust currently owns, or has ownership interests in, and operates 77 properties totaling in excess of 10 million square feet located primarily in the Northeast, Mid-Atlantic and Midwest United States.
