One last auction planned for GrandView condos in Annapolis
Sturbridge Homes, the builder, has scheduled the GrandView at Annapolis Towne Centre auction for July 24. Auctioneer Sheldon Good & Co. said the idea is to close out the project by selling everything that's not already under contract by the event -- around 25 units, give or take.
When the first auction was announced, two-thirds of the project was empty -- only 50 of the 150 condos had changed hands over the previous year and a half. Buyers purchased 33 units at the November event and then 30 more after that, counting both active contracts and settlements, said Mark Troen, chief operating officer of Sheldon Good.
(Wondering why the math isn't working out? Because more condos could sell between now and July 24, there's wiggle room between the number currently up for the sale and the 25-unit figure being advertised.)
Troen said the first auction helped set -- and put a floor under -- prices. Afterward, "They went up about 5 to 7 percent, depending on the units," he said.
Sale prices at the November auction ranged from $275,000 to $610,000, not including commissions. (For comparison's sake, the auctioneer advertised the original listing prices at $415,000 to $995,000, and the minimum starting bids were $148,500 to $308,000.)
This time, units the auctioneer says were originally priced at $514,000 to $937,900 will have minimum opening bids of 59 to 70 percent off. They're guaranteeing at least 10 will sell at that minimum price if the bids don't get any higher.
Troen said he's confident that none will be left after the auction is done. "I think the market demand is there," he said.
What do you all think of the auction method of selling higher-end product? A variety of developers have gone that route -- some more than once, such as Sturbridge -- so they must be doing the math and deciding it's a good option. Do you think buyers end up doing any better than they would have in a traditional sale?