MORE AUCTIONS COMING
After a successful Dec. 15 live auction by CRE Auction Group and Henry S. Miller, HSM investments prez Robert Grunnah (below addressing the auction crowd) says HSM's next auction is planned for March, using the same structure but with a much more critical approach to pricing. Other sales methods (non-auctions) won't produce the objectives of sellers, he says. Thus, only market priced assets will be considered and included for sale. Looking like a Christmas card, here's CRE Auction Group staffers: seated, Nelson Somerville, Chris Meaux, Craig Barnes, Rob West, and Bill Vaughan. Standing, Krystal Krebs, Melanie Edmondson, Amber Leigh Hartman, Rowan Sbaiti, Roger Lee, Paige Osborne, Doak Lambert, and Ann Carne.
|Robert says he’s hesitant to project the net results of the auction until scheduled closings occur in about a month. However, of those properties not selling, the results from the auction floor produced an average of 60% of set reserves, outside those few properties which actually achieved reserves. He believes the disconnect between buyers and sellers was brought dramatically closer by their effort. Sellers have yet to recognize the commercial value decline that actually exists, he adds, and it’s the seller who must adjust.|
|Here’s Doug Paul, one of the auction's two bid spotters. Robert says the auction process was the most efficient disposition tool available for motivated sellers to liquidate. CRE’s Bill Vaughan anticipates continued downward pricing on commercial properties. In the past 10 years, he’s raised more than $20 million working charity auctions and is the current president of the North Texas Land Council.|