Comments on: The West End Condo Auction Liquidation Sale

By: The West End Condos Auction Results | Nashville Condos

The West End Condos Auction Results | Nashville Condos — Thu, 14 Jan 2010 04:42:40 +0000

[...] The West End Condo Auction Liquidation Sale [...]

By: Grant Hammond

Grant Hammond — Fri, 27 Nov 2009 20:22:53 +0000

Jimmy, thank you for the comment. Obviously, I am unaware as to the specific details of any marketing arrangements and I know you to be one of the highest quality brokers in Nashville. Clearly, whoever was responsible for the marketing decisions made several rather large mistakes in both their marketing plan and implementation.

By: Jimmy Pilkerton

Jimmy Pilkerton — Fri, 27 Nov 2009 19:57:08 +0000

Grant:

I enjoy your blog but as the original brokerage firm retained by the building's developer, I must take exception with your comment above “The sales team had a poor marketing effort that was slow to tell the public about the building.” Our client, the building's developer, was responsible for marketing and advertising. Unfortunately, there was no advertising budget and the lack of sales attested to that fact. The absence of serious promotion of this auction does not surprize me.

By: Grant Hammond

Grant Hammond — Fri, 27 Nov 2009 14:22:53 +0000

By: Jimmy Pilkerton

Jimmy Pilkerton — Fri, 27 Nov 2009 13:57:08 +0000

Grant:

By: Nashville Terrazzo and West End Condo Auctions | Nashville Real Estate

Nashville Terrazzo and West End Condo Auctions | Nashville Real Estate — Fri, 20 Nov 2009 18:58:03 +0000

[...] such a good job marketing their auction, most interested buyers would not have learned about the West End condo auction until much later or possibly, not at all. I saw initial press releases from Jerrold Pedigo and did [...]

By: Devils Advocate

Devils Advocate — Tue, 17 Nov 2009 03:34:56 +0000

Sounds like they're doing a lot of this as up front scare tactics to try to keep the flakes away from making off the cuff bids that they've no intention of honoring.

By: GrantHammond

GrantHammond — Tue, 17 Nov 2009 02:43:58 +0000

In addition to the general terms, the portion that upsets me is the auctioneer's 10% buyer's premium. This is equivalent to a real estate agent listing your home for a 10% commission and not offering to split that commission with the buying agent. This buyer's premium structure has been in place for individual land auctions for quite some time, but for an auction company to have the audacity to take 10% of each transaction a total of 45 times in one day is just plain greedy and is ultimately hurting the sale, the building and John Coleman Hayes. My assumption (yes I know what happens when you assume) is that Mr. Hayes has paid a marketing fee to the auction company to cover the auctioneer’s out of pocket marketing expenses -this is the traditional arrangement for marketing expenses. If that is true, then this rural auction company has now *attempted* to turn an urban luxury high-rise auction into a traditional cow pasture sale. If I were the sell or the BANK, I would demand that the buyer’s premium be reduced to 5% in order to give bidders room to bid higher on the condos.

By: Devils Advocate

Devils Advocate — Tue, 17 Nov 2009 02:06:36 +0000

That's not an auction, that's sellers fantasy circa 2005. But who the hell do they think they are these days?

As for the "no contingencies" business, this is standard boilerplate crap that will not protect the developer from any latent & patent defects discovered during inspection, problems with unmarketable title, lis pendens or a host of other matters that could arise during the executory period.

Also, if the buyer signs but can't get financing by closing and the developer tries to keep the deposit, I'd like to see how the court views this 'heads I win tails you lose' BS arrangement.

By: Advice for Nashville Condo Buyers | Nashville Real Estate

Advice for Nashville Condo Buyers | Nashville Real Estate — Tue, 17 Nov 2009 00:25:47 +0000

[...] at 100 unsold condos and is hosting a 30 condo auction this coming Saturday. The West End is also planning on an auction to relieve excess inventory, selling 45 of their 70 unsold condos on December 5th. The Encore and [...]