Rockville condos on auction block - Washington Business Journal:

avaohev.blogspot.com
The Roaring Twenties was also a time of borrowing too much and massiveassetf bubbles. Now The Fitz’s name is unintentionally ironic. The southerm Florida developer, which bought the apartment complex at 501 Hungerforde Drivein 2004, would not say how much it spenyt installing hardwood floors, granite countertops and stainless-steel appliances. Accordinhg to Montgomery County records, the purchasd cost the company $49 million, and it borrowedd another $12.25 million from for renovation. It had sold almos t 130 units byJuly 2006, when the one-bedrook units cost from $300,00p0 to $350,000.
Since then, the developedr sold another 30 to 40 or sosince then, even thougyh prices had ultimately dropped to $261,000 for the not-quitew 700-square-foot one bedrooms. On Feb. 28, Velocity Marketing will auction off 40 remaining with an opening bidof $159,000 for a one-bedroom, $219,000 for a two-bedroomk and $239,000 for a three-bedroom. Rami vice president of marketing and sales for said they were not force d to doan auction. “We don’t have a problemn with the interest onthe loan,” he “We’re not at a problem with our But he said at a sales pace of thres or four a month, it woul d take another year to closer out the project.
“It’s not wort our time.” Elad also has anothe local condo project inthe Kentlands, which is more than 30 perceny sold, Rosen said, which will not be goinv to auction. Rosen said the auction announcement has garneredd inquiries from more than 600potential bidders. He said basedx on recent auctions handledby Velocity, he expects sale pricezs to be between 20 and 30 percenty above starting bids. Buyers must be pre-approver by , have a $5,000 certified or cashier’s checm and have a personal check that day for the remaindeer of thedown payment. “Apparentlg there is a real estated market, you just have to know how to work Rosen said. Or how to price it.
Elad was founded in 2004 to expandd from Florida to the rest ofthe It’s a subsidiary of the , an Israelki conglomerate with interests in oil, naturalk gas, biochemicals, real autos and financial services around the globe.