I have been really frustrated lately with the housing market. Our condo is still for sale (we may have a buyer though – fingers crossed!) So last month, in a fit of anxiety, I called my husband mid day and told him I just wanted to auction off our condo and be done with the whole thing, I had enough!
I called our local auctioneer and set up an appointment to meet and discuss our condo as a prospect. I had all kinds of questions; would we bring in a decent price, how long would it take, etc?! I had a lot of questions…..
Here is what I found – I thought the auctioneer we talked with was BRUTALLY HONEST and I appreciated it!
- People come to auctions with a set price in mind – the price is based off of comps and preconceived notions. If the comps in your market are bad – you are essentially not going to get your price.
- While the process might be "faster" – The property would have had a buyer that day – provided bidders showed up!
- The auction (in our case) would have been an absolute (there is no set reserve price) and we would have only brought in approx 65% of the property's value. (There are absolute auctions and auctions with reserves)
After meeting at the condo, our auctioneer thought we should just leave it on the market. He though out condo was really nice and that we were just a victim of a bad market – to continue listing it with our Realtor and something would happen. This ironically – was comforting.
Long story – auctions (as I have mentioned before) are great under the right circumstance. BUT – it really depends and even though our market is tough (I SWEAR) I have seen movement and action picking up out there. I hope (AND PRAY) that our prospect works out! Here is a link to our condo – just in case!
Portage Path Condo
I have to say that 17% down is not that bad – especially when similar business are down 25-30%.
See posted article for the story:
Myers Industries Inc. (NYSE: MYE) has reported a third-quarter loss compared to a year-ago profit as the company saw its sales fall 17%.
The diversified manufacturing and distribution company said its loss in the latest third quarter totaled $5.3 million, or 15 cents a share, which included a loss from discontinued operations of $4.7 million. In the third quarter of 2008, Myers earned $1.3 million, or four cents a share.
Sales at Myers slid to $165.4 million from $199.9 million.
Myers said in a statement that weak end markets “continued to result in sales volume declines across the company's segments.”
“Customers continued to conserve cash and reduce spending, purchasing products on a just-in-time basis,” the company said.
From your fellow Libra!
Stan Bullard (he always gets the scoop! HA) is reporting that DDR has renewed interest in a joint venture with MDT US LLC joint venture, an affiliate of Macquarie DDR (ASX: MDT) of Australia. 
Developers Diversified Realty Corp. (NYSE: DDR) announced today that it has redeemed its interest in the MDT US LLC joint venture, an affiliate of Macquarie DDR (ASX: MDT) of Australia.
While most people are scared shitless of retail centers right now – DDR is full force ahead. Some would say genius! See the full story below:
Beachwood-based Developers Diversified secured full ownership of three U.S. shopping centers with 857,000 square feet of selling space in exchange for its 14.5% stake in the joint venture and a cash payment of $1.6 million to the joint venture's parent, DDR Macquarie Fund.
Sydney, Australia-based Macquarie DDR Trust shareholders approved the redemption of the interest in the joint venture in the U.S. shopping center market.
As part of the transaction, Developers Diversified repaid $17 million of mortgage debt on two of the centers. A $48 million mortgage now encumbers two of the centers; a third is mortgage-free.
The shopping centers range from 197,000 to 353,000 square feet in size and are in Atlanta, Marietta, Ga., and Brandon, Fla. Developers Diversified said it remains the joint manager of the trust and leases and manages the remaining assets in the DDR Macquarie Fund.
David Oakes, senior executive vice president of finance and chief investment officer for Developers Diversified, said the redemption provides both parties enhanced flexibility and achieves its goal of simplifying its structure, lowering leverage and eliminating near-term financial maturities. Developers Diversified owns and manages about 670 retail operating and development properties.
Interesting – Very interesting!!!
If you have not had the pleasure of meeting Charles Ratner - you should! Mr Ratner is the CEO of Forest City Enterprises in Cleveland, Ohio. (Forest City is the company that redeveloped Tower City and the Court House in downtown Cleveland but have development all over the country and the world – click here for their website) I thought this article was interesting and definitely worth sharing:
Cleveland Crains/ Stan Bullard reports:
Despite downbeat times for real estate ownership and development, Forest City Enterprises Inc. (NYSE: FCE) president and CEO Charles Ratner took the long-term view to find reasons for optimism this morning when he addressed a “Deal Maker Forum” co-sponsored by Ulmer & Berne LLP and Inside Business magazine.
Two reasons for optimism: the nation's population will continue to grow by about 3 million people annually the next few years if it does not adopt restrictive immigration policies, and aging buildings nationwide will need to be replaced. Both will create opportunities for real estate development, especially in cities, Mr. Ratner said.
Part of the reason he describes himself as an optimist, Mr. Ratner joked, is because Forest City's stock price has rebounded. The stock stood at $12.60 a share at mid-day today, which is up from a 52-week low of $3.26, though it remains below its high of $20.55.
Speaking of the outlook for Forest City's hometown, Mr. Ratner said the recession has produced a rare decline in moves between states by individuals that provides an opportunity for Northeast Ohio. If the region can retain young people with attractive environments, jobs and start-up companies, he said, it might be able to retain more talent than in healthier economic times.
As Mr. Ratner recounted some of Forest City's developments that have taken years to come to fruition — from Metro Tech Center in Brooklyn, N.Y., to University Park at MIT in Boston — he observed that he hopes several Cleveland initiatives succeed, from the proposed medical merchandise mart and convention center to redevelopment of the lakefront.
“I'm upset we didn't get” the medical mart at Forest City's Tower City Center, Mr. Ratner said in reference to Cuyahoga County's decision to put the big project at the existing convention center site in downtown Cleveland. “We deserved it. That is history.” Still, he added, “If Cleveland succeeds with the convention center and casinos, I'll be really happy it went elsewhere. Tower City Center will be more valuable.”
He said Forest City is urging its employees to support state Issue 3, the casino gambling initiative on the November ballot, and Issue 6 in Cuyahoga County, which would reorganize county government. Cleveland Cavaliers owner Dan Gilbert proposes putting a Cleveland casino on land owned by Forest City if Issue 3 passes. As Mr. Ratner recounted some of Forest City's developments that have taken years to come to fruition — from Metro Tech Center in Brooklyn, N.Y., to University Park at MIT in Boston — he observed that he hopes several Cleveland initiatives succeed, from the proposed medical merchandise mart and convention center to redevelopment of the lakefront.
“I'm upset we didn't get” the medical mart at Forest City's Tower City Center, Mr. Ratner said in reference to Cuyahoga County's decision to put the big project at the existing convention center site in downtown Cleveland. “We deserved it. That is history.” Still, he added, “If Cleveland succeeds with the convention center and casinos, I'll be really happy it went elsewhere. Tower City Center will be more valuable.”
He said Forest City is urging its employees to support state Issue 3, the casino gambling initiative on the November ballot, and Issue 6 in Cuyahoga County, which would reorganize county government. Cleveland Cavaliers owner Dan Gilbert proposes putting a Cleveland casino on land owned by Forest City if Issue 3 passes.
Fabulous!
I was very annoyed this morning when I read the article in The Plain Dealer about Just Born Inc., the Peeps People, suing Recycled Paper Greetings Inc. for using the word "Peep" in its greeting cards. Just Born Inc is upset (and rightfully so) because the word "Peep" is a registered trademark.
Before we move on, I have to admit , I bought one of the cards. They were actually funny and it is hard to find a card that is actually funny. Most (I think) are crass and lame. If my stone heart felt joy from seeing the "Peep" card, who wouldn’t!?.
Ok – this is where I disagree with the JBI People….. [click to continue…]
Who doesn't know and love the Howard Johnson chain of hotels, more teasingly known as the HoJo! WOO HOO Well, as it turns out, not everyone….
Howard Johnson Hotels have been kind of a mixed story. There are a number of these hotels still in business. BUT – most are not! Most look like hell and are in terrible areas. (This is a personal opinion – not fact) It is no surprise that there is a decrepit one along the Cleveland shoreline and that it is being torn down. What is surprising is that someone tried to stop the demolition! Well – demo is back on AND GOOD RIDENS! Sell below for the full story from Crains!
Construction crews will be able to resume demolishing the long-vacant Howard Johnson Building on East 55th Street after Cuyahoga County Common Pleas Court Judge Richard McMonagle dissolved a restraining order that stopped the demolition of the long-empty property under a city of Cleveland order.
[click to continue…]
Take advantage while you can!!! The federal tax credit for first time home buyers is coming to an end. (BOO)
A tax credit of up to $8,000 is available for qualified first-time home buyers purchasing a principal residence on or after January 1, 2009 and before December 1, 2009.
Rumor has it that congress has a number of requests to extend the program and it apears likely that it will continue BUT make sure that if you can – you do!! It is a tax credit VS a tax deuction. Always a good thing!
For additional information on this credit click here!
It seems home prices have increase for a strait 6 months!!! THANK YOU WOO HOO!!! (With that being said – I think we are about to auction our condo – will touch on that shortly)
The Associated Press reports:
NEW YORK – A closely watched index of home prices shows year-over-year improvement for the sixth month in a row and prices in all 20 cities rose from June to July.
The Standard & Poor's/Case-Shiller home price index of 20 major cities released Tuesday rose 1.2 percent from June. Though home prices are still 13.3 percent below July a year ago, they have risen for three months straight.
The index is down about 33 percent from the peak in mid-2006. Home prices are now at levels not seen since the third quarter of 2003.
I hope Akron is one of these 20 cities!!!
So – back to my travels. (See Hot Hoods: Carmel IN) Last week I had the pleasure of being in NYC during fashion week! The parties and celebrities were amazing (I didn't see any of them or attend any of it HA) BUT- I was there to see various retail spaces and this is what I learned about the Fall 2009 musts…..
Ikat Chairs
Fall Home Must Haves:
Anything by B Berger!!! Woo Hoo (because of Berger's large selection and good value)
Natural Fibers (ie: Wools, Cottons, Mohair – all soft and fab)
Colors: Grays, limes, purples, blues, and always black and brown!
Feel/ Hand: Soft, homey, and comfortable (Chenilles, Damasks, Ikat, etc)
It is a great time to redo your home – you can get a lot for alittle!
