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SHELLY

SoWal Insider
Jun 13, 2005
5,763
803
Bankers balk at bids at Tringali auction

So far, bankers have only accepted bids on two of the 32 properties that formerly belonged to real estate developer Michael Tringali and were put up for auction on Feb. 15.

Martin Higgenbotham, whose Lakeland-based auction house handled the sale, said bankers are still negotiating with potential buyers on four more houses and two vacant lots.

"People say that wasn't a good sale," Higgenbotham said.

"But we got a good crowd that was willing to put dollars on the table. It was up to the sellers to accept the values."

But bankers who lent Tringali money to finance his developments could not stomach letting assets go for half their value during the boom.

"That's what the property is worth today," Higgenbotham said. "It's just less than the sellers want."

If it were his choice, Higgenbotham said, he would have sold the properties at the prices offered at the auction and invested the money in something else, rather than wait around for a market rebound that may take 18 to 36 months.

"What has happened is that the market got way overbuilt," Higgenbotham said. "Just like with oranges, when you grow too many, the price goes down."
 

Camp Creek Kid

Christini Zambini
Feb 20, 2005
1,277
125
53
Seacrest Beach
In the case of Seagrove Highlands, the developer owns the units free and clear and is also able/willing to owner finance. There is no bank involved.
 

rapunzel

Beach Fanatic
Nov 30, 2005
2,514
980
Point Washington
Sounds like bait and switch to me.

:dunno:

That was sort of my point. If I wanted a particular condo that was listed at $500,000 but I was only willing to pay $450,000 for it, I would make an offer. I don't think anyone is shying away from a property they really want over 10% difference in perception of it's value. If the people auctioning properties aren't willing to accept less than $400,000 for a property someone could get (much more simply through the traditional route) tomorrow for at most $425,000, it all seems like an exercise in futility.
 

Camp Creek Kid

Christini Zambini
Feb 20, 2005
1,277
125
53
Seacrest Beach
There are two buildings with 41 units in each building. 82 total. I do not know where the 16 number came from. 10 are being auctioned by the developer. He probably has 16 left and want to keep 6 for now. It is advertised as an absolute auction but if the first unit goes too low, I feel strongly that the other 9 will be withdrawn. I am familiar with this developer and I do not think that he will take less than $400K for the 3 bedroom units. Just my opinion. The 2 bedroom units are awful because thay have no exterior windows, just to the interior hallways. Overall the project is very good quality, attractive, and a good deal for some of the lower priced units being offered by motivated investors who thought that they would flip before completion. One nice 3 bedroom unit is listed by Garrett for $425,000 and offers are encouraged. I think the original purchase price was around $490,000.


I also am familiar with the developer and I don't think he will withdraw any of his units. Nobody knows how the auction will go, but he is very realistic in his expectations and is ready to sell these units. When all is said and done, the developer has no debt on this project and, while he is sensitive to the fact that many of the original buyers were investers intending to flip (and now need to sell), he will be able to sell at a price below any of the units that are currently listed. Are you the person who has the unit listed with Garrett?
 

rapunzel

Beach Fanatic
Nov 30, 2005
2,514
980
Point Washington
Interestingly enough, I went to the preview of one of the Seagrove condos being auctioned on the 10th last weekend. I was curious about the building and wanted to see the layout. This building has 16 units, ten are for sale. The units are all basically the same, but there is a $270,000 difference between lowest and highest list price. The representative from the auction group asked me what price point I was looking at, and not having thought about it I pulled a number out of nowhere that happened to be about 85% of the lowest list price. The representative sweetly suggested I instead go look at another unit they will be auctioning that day that is listed for about 5% more than the number I'd mentioned. Granted, I've only ever bought antique furniture at an auction, but wouldn't 85% of a list price stand a shot at a customary auction?

I'm confused. Are you referring to Seagrove Highlands or another auction?

The auction on March 10th.
 

Camp Creek Kid

Christini Zambini
Feb 20, 2005
1,277
125
53
Seacrest Beach
So can anyone give me the latest on Seagrove Highlands. We have been to the area and love it. Is this worth buying...I thought there were suppose to be 4 buildings and just two sit there now. Will the other 2 be built? Any realtors out there with an idea on what the auction will bring in as far as price and what is the fair market price now for a 3 bedroom / 2 bath condo at Seagrove Highlands? When we were there last summer it just seemed like WAY to much developing going on. Is there too much to support or is this price correction just on par with the rest of the country? Thanks for any help with fair price suggestions and area suggestions for Seagrove Highlands.


There is a second phase planned for Seagrove Highlands that will be completed when the market can support it. The second phase includes 2 more buildings and an additional pool. I'm not a realtor, so have no idea what a fair market price is, but I don't think anybody knows. I do know that most of the development along 30-A is coming to a stop. There is not much vacant land left that is close to the beach and there is no traffic concurrency left for major projects.
 
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