'Dueling' real estate auctions in Ocean City
If you're thinking of buying one of the still-unsold Bahia Vista condos in Ocean City, you've got two real estate auctions to choose from. At exactly the same time.
At 1 p.m. Feb. 27, 11 of the new condos are going on the auction block at the Grand Hotel in Ocean City. Nine others are set for auction at the Loews Annapolis Hotel.
Marshall Auctions -- which is handling the 11-condo event -- dubbed it an "auction war" in a press release.
A variety of Eastern Shore vacation-home builders have turned to auctioneers to move their unsold inventory in the last year, since the housing slump has been particularly rough for anyone selling "discretionary" real estate. But this is the first project I've seen that was split between two auction companies.
One of the auction firms offered this explanation:Marshall Auctions will offer 11 condominiums owned by Spiro Buas, a partner in the development of Bahia Vista. Buas retained ownership of the units after the initial partnership grew contentious and eventually dissolved.Buas arranged a February 27 auction in Ocean City of his unsold units, but only after his former partners had begun to market a separate auction.
Max Spann Real Estate & Auction Co., which is handling the nine-condo auction, says the partners it's representing will let at least four of the units go for a minimum bid of $95,000. Previous asking prices ranged from $680,000 to $790,000, the auctioneer says.
Marshall Auctions -- in a one-upmanship move -- says Buas is offering no minimum bid on at least four of his condos, plus no buyer premium.
I've been to a Max Spann event, and it's worlds away from the dour environment of a courthouse-steps foreclosure auction. Employees wore suits with carnations. A light jazz ensemble warmed up the crowd.
But no one ended up with a minimum-bid steal. The cheapest condo at that August event was bid up from $85,000 to $240,000.
So, what do you think: Will an auction war mean deals for buyers?
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Comments
More soulless condos in OC. Just bulldoze them and put back the original stuff, the ones that give downtown character.
Posted by: OC | February 19, 2010 12:37 PM
Regardless of the one-upsmanship actions by Marshall Auctions, it sounds like there is a real opportunity. Most folks that I know will see through any drama and bid on the condo that fits their needs from the more professional auction company. You are correct about Max Spann Auctions- they are a class act and real business takes place at their auctions.
Posted by: MD | February 20, 2010 8:42 AM
It seems to me that both firms are very professional. I went to the open house and both Marshall and Spann informed me about each other’s auction. I can’t think to wonder how Spann if charging the buyer a 10% buyer’s fee and Marshall has no fee. I can't understand why they are different. I’m planning on going to the Marshall Auction because it is in Ocean City; I really like the idea that I can take a 2nd look at the units before the sale. That’s not to mention I want to save the 10% buyer premium. Kind of reminds me of the Honda Dealer that thinks their car is worth more than the sticker price.
Posted by: mike | February 20, 2010 2:16 PM
Jazz ensemble or not I'm going where I can save 10 percent on my purchase.
Posted by: Rob | February 21, 2010 5:21 PM
Perhaps Marshall Auctions will have a jazz ensemble there, too. :-)
Posted by: Jamie Smith Hopkins | February 21, 2010 7:39 PM
i just got an email stating Marshall Auctions's seller has just removed any minimum on the waterfront units. Selling them absolute!. i suppose the seller is serious about moving these units. i'm I missing something?
Posted by: mike | February 22, 2010 5:48 PM
With Max Spann charging a 10% buyers premium on each condo I would hope they would wine and dine me with fillet Mignon and Lobster and send me home in a new car...Im going to save my 10% and stay local...just makes more sense!
Posted by: OceanCIty | February 22, 2010 6:12 PM
has anyone heard if it is true that max spann might be canceling their auction in Annapolis?
Posted by: steve | February 23, 2010 9:17 PM
Did anyone attend either auction and know what they went for?
Posted by: Him | March 1, 2010 4:50 PM
I didn't go -- anyone? Bueller?
Max Spann's site lists the units as "under contract."
Posted by: Jamie Smith Hopkins | March 1, 2010 4:55 PM
actions in ocean city was great! 1st class event. all units sold! even got a free t-shirt .
Posted by: Anonymous | March 1, 2010 4:58 PM
We are happy to report that all eleven of the Bahia Vista condos that Marshall Real Estate Auctions sold at the Grand Hotel have gone to settlement. [Total is around $4.3 Million - a number which includes no added buyer premium.]
Posted by: Charlene | April 27, 2010 10:48 AM
Wow, it is unusual for real estate auction company organizations to go head to head like that in a direct competition for buyers.
Posted by: GramJ | January 13, 2011 12:43 PM