It has been 4 months since we met in the fitness room and discussed the assemblage. We are almost 100% assembled! If you thought this was going to be easy - wake up. All you have had to do was sign a couple of pieces of paper and wait. For an assemblage of this size, 4 months is not a long time. I realize a lot of you are frustrated and want to take the money and run. I agree this is a GREAT opportunity. So - have faith! No matter what has been said...you can't snap your fingers and sell a 60 year old building for $27 million dollars in a declining real estate martket and a recession. But, beleive it or not, I think we are really close. So again - HAVE FAITH!
Every single sobu homeowner that originally purschased a unit in 2001 has lost money!!!!!! This buyout will give the ones that stuck around a chance to make money. And for the owners who saw a great opportunity and bought in recently....they are REALLY going to make out. They were very smart. And I am happy for them.
Paces Green is under contract and will be sold. From what I have been told, the investor did not give any one homeowner a huge check just to get them to sign. Meaning, the last hold outs did not get 1 million dollars. Do you know why? Because the numbers DID not work. And the same applies at Sobu.
If we get an offer on the table it might not be $27 million dollars. It may only be $25 million and everyone will have to adjust their price. But we need an offer first. And I think it is around the corner. There are a few people interested. So again, HAVE FAITH!
We have two months of reserves in the bank.....we should have a year. If the elevators break, each one will cost $50,000. We would need to borrow money. Not to mention carpet, painting, routine maintenance, & the mayor just asked for another 15% increase in water prices. So it looks like we can't keep up with the cost of living increase. Some of you have accused me of manipulating these numbers, but most or you know the situation. If you still have any doubts come and see me, we will talk.
Now is the best time to have money for investments. The cash you may get is a gift. The equity is not actually there. Again, we are in a declining real estate market. If you don't believe, me have your condo appraised. If you think your 800 square foot condo is going to be worth more in 5-10 years, than what you are being offered now - please do some research. It will take years before the condo market in Buckhead/Atlanta turns around, much less makes a profit.
Most of you reading this are in agreement with me on all of these points, so I realize I am preaching to the choir. But I felt this was a good opportunity to remind everyone why we are doing this and also how close we are to getting it done.
So again - HAVE FAITH!!!!
Chris Tilley - your ( pro bono ) President that has served on the board for 4 years....
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I understand the blog and thanks for writing it, but I haven't been to hard on my fellow homeowners.
I think the rudeness that people have expressed and the impatience has been because everyone is expressing how close this deal is to getting done...and a deadline of Feb 29th was put down by our realtors or they will walk. That is 9 days away.
This deal is so important to many that 9 days does give people a sense of urgency...and its our lives and financial status that is on hold.
I know I am getting ancy as that date approaches. I just can't sit in this place and let the costs rack up around me. It's like waiting is so frustrating when the clock is windling down.
Thank you Chris for EVERYTHING.
The closing date on my unit was July 16, 2001. My sale price was $156,000. I put 20% CASH down. Along the way I refi'd . . .that 5yr ARM adjusted for the first time October 1, 2007. I had my condo appraised the day after the 1st assemblage mtg in the gym. My same 996sq ft unit with new hardwoods, new paint, in excellent condition, 6+ years later appraised at $132,000. I can't even refi into a better interest rate without having to pay monthly PMI due to DECREASED PROPERTY VALUE. These are cold, hard facts.
If I could even find someone to buy my place I'd lose money.
Please don't let this opportunity pass us by. PLEASE.
So the new interested party is not even on board with the $27 million?
I thought this was the minimum we were going to take?
We are not sure what will be offered now even if we do have 100%?
Chris, Josh, Annie: thanks for trying so hard, I will have a little more faith and pray that God's will be done as He has a special plan for each sobu owner. I guess we could all be like Gov. Sonny Perdue when he called for a prayer session for rain... everyone laughed at him... but we got rain the next day.
Where do I start, first and foremost THANKYOU to Chris, Josh, and Annie.
IF this happens I truly believe most of our lives will be changed forever, now money doesn't buy happiness but seriously stop and think about what you could do with it, pay off credit cards, car loans, student loans, other mortgages or instantly have a retirement nest egg, invest in a bigger condo with better amenities, take that risk in life you always wanted to but couldn't.
Whatever you may have these funds earmarked for it will be life changing. I agree I may be preaching to the choir, but for the people on the fence, what is the negative here? Please explain it to me? Is it you are used to your sobu lifestyle and don't want to move or change? That is very shortsighted!
And ask yourself why people buy real estate in the first place, it is obviously to own instead of rent with the hope the property appreciates and when it comes time to sell you make a profit. This potential offer and the circumstances we find ourselves in today is a blessing and therefore the biggest NO BRAINER ever.
I will have FAITH and think positively for the opposite is counterproductive.
Chris, thank you so much for the positive words! I hope that we are heading in that direction. I know that the homeowners board has worked so hard to maintain our old building especially with the little funds that we have. It's only going to get harder and more expensive. So, yes - ANY money that we get for the condo is a gift in this market. There couldn't be a better climate to buy or invest in either.
So holdouts, pay attention - this could (and most likely will) be it!!! Seize the opportunity!
Thank you, Chris, for refocusing us on the big picture. I think we all needed to be reminded of what we can realistically expect. It is absolutely important to stay optimistic that we will get a buyer soon. If we don't, we need to be ready to contribute quite a bit of addition money (by way of assessments)into Sobu as we prepare to repair/maintain a very old building in the coming years. Thanks to you and the entire board for your service to the HOA.
Thank you, Chris..I am with you, LET'S HAVE FAITH!!!!..
LET'S PRAY AND HAVE FAITH!!!.. SELLING THE CONDO, WILL CHANGE OUR LIFES..NO MORE STRESS...
THERE IS NO IMPOSSIBLE THING FOR GOD, LET'S PRAY AND HAVE FAITH..
BRIAN'S WIFE
Joe - I must not have been clear. We do not have an offer yet. $27 million nor $2 million has been offered. You can list your property for what you want, but unfortunately that is not what someone may pay for it. When we get an offer we will have a meeting to discuss. Right now we do not have an offer. Just interest.
The contract and the meetings we had with the agents were pretty clear. The asking price was 27 million which equated to 280 per sqf. If a lower offer was made we would all have to re-sign on with the new amount. (I asked and re-asked this question repeatedly and received the same answer. I gotta be honest as long as I get back what I put in I could care less how much the building sells for, I just want out.
Foreclosures are up 57% in January. Its time to sign!
Make money now or lose money later, its your choice.
Any updates?
I am sure those who refuse to participate in this assemblage do so out of either comfort or the belief the building will be worth even more one day. The shame of the thing will be that when their situation changes- and situations always change- and the holdouts want/ need to sell their units, it will probably be just as impossible as it would be today. Only then will they see what a great opportunity this was to make a silk purse out of this sows ear. At that point it will be too late. The owners will have poured more and more money into the building each year, and the competition from newer buildings will be ever- present. More units will fall in foreclosure affecting the appraisals for resale and re-finance. Defaults on homeowner dues/assessments will put an increasing burden on the association budget, and the HOA dues will creep higher and higher. More and more desperate owners will begin to lease illegally. On this blog we have shared stories of appraisals standing in the way of sales and attempts to refinance.
Unfortunately, our building has several obstacle which will continue to stand in the way of commanding the sales prices our location should be able to achieve- low ceilings, inefficient HVAC systems, under- calculated parking allotments, inefficient and expensive-to-replace windows, no balconies, limited in-unit laundry connections, and sub par guest parking facilities and building amenities.
We may never know what the value we might have achieved through this buyout may have been- the few parties that have shown interest have been slow to move without 100%. I am convinced that our HOA dues will increase substantially in the coming years and that special assessments will be necessary to keep the building systems operating. The water bill alone should require substantial HAO dues increases- City of Atlanta announced another 15% increase in water fees just last week. There are few remaining amenities which can be pared back to save budget dollars and keep our dues where they are.
Have any of the hesitant owners met with the agents to discuss their options? Not only could this be the one and only opportunity to sell out of Sobu, but a clever buyer with the right guidance could actually take their proceeds and buy a unit in a nearby building, either from a motivated seller or maybe even a foreclosure and catapult their potential investment even further, or end up with a nicer unit in a building with better amenities. What a time to be a buyer with cash in your pocket!
K
"Have any of the hesitant owners met with the agents to discuss their options? Not only could this be the one and only opportunity to sell out of Sobu, but a clever buyer with the right guidance could actually take their proceeds and buy a unit in a nearby building, either from a motivated seller or maybe even a foreclosure and catapult their potential investment even further, or end up with a nicer unit in a building with better amenities. What a time to be a buyer with cash in your pocket!"
Use as an example the pre-forclosure advertised in Habersham at Roswell, 1 bedroom, fireplace, balcony, hardwoods, great opportunity for future complex assemblage. Buy now at $115,000, current value $180,000. Put $54,000 in your pocket tax free, reduce your original investment to $62,000, and own something already worth $180,000! In a few years with an assemblage, who knows!
I just convinced myself this is a great idea!
Any updates with the party that has interest?
OK, I am starting to lose faith here. Any more word on the status?
What is going on at this point? Do we have any updates?
okay... it's Thursday- What's up?
We are down to one day. Any update?
Dear Homeowners,
Clearly the holdouts believe this building will be worth much more given the letter posted in the building today by a hold-out stating in the future "you will all post a thank you letter" due to they think we all will be nasty rich off of the sale...hahahahahahahahaha. I know..I'm laughing too. There is no more use in placing any time and/or energy in trying to change their minds. It was fun thinking of "what could have been."
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