IRVINE, CA/CARLISLE, PA – Auction.com, the nation’s leading online real estate marketplace, has successfully auctioned a large industrial complex in Carlisle, Pennsylvania using a specially-tailored version of its online auction process.
The property sold is comprised of two, 100% leased institutionally owned and maintained distribution buildings totaling 693,750 square feet on approximately 73 acres. During the June 12 auction for the property, the competition between a group of pre-selected bidders resulted in a highly successful auction. The transaction closed on June 26.
Auction.com, which tailors high-value auctions to maximize results, established a special process that required potential buyers to qualify for a “short list” of bidders by submitting a sealed indicative bid. Of the 19 institutions that submitted bids by May 8, a select group was invited by the seller to participate in the June 12 auction. Once the short list was determined, the auction proceeded online using the Auction.com platform with buyers competing in a transparent bidding process. The approach provides benefits to both bidders and the seller. The seller was provided insight into the number of bidders whose preliminary valuation was in line with its own and the potential buyers who were selected for the final round had approximately four weeks to perform due diligence on the property in order to make well-informed bids at auction.
“Institutional buyers place a heavy emphasis on pursuit costs and likelihood of success,” said Eric Paulsen, president of Auction.com Commercial Division. “By first requesting an indicative bid, we were able to provide bidders comfort that they were within striking distance of the seller’s expectation and just as important that they were part of a limited group of potential bidders. With more and more high-quality assets coming on to our platform, this model can be a tremendous time savings and opportunity for institutional buyers.”
Auction.com custom auctions are single-property/portfolio events for institutional, or complex, assets. To sell an asset through this process, please contact Joseph Cuomo, senior vice president and director of Business Development at [email protected] or 305.503.2637.