RTC'S RECOVERS $106 MILLION IN PREMIER COMMERCIAL AUCTION'
PALM SPRINGS, Calif., Nov. 21 /PRNewswire/ -- The Resolution Trust Corp.'s "Premier Commercial Auction," conducted today produced $106 million in taxpayer recoveries through the sale of 13 of the RTC's 14 top commercial properties.
"We are thrilled and delighted with the success of this auction particularly in that we were able to exceed our reserve price overall by 28 percent," said RTC president and chief executive officer Albert V. Casey.
"This was a well conducted, widely publicized auction that resulted in good recoveries given today's commercial real estate market," Casey added. "The competition was indisputable. Anyone truly interested had an opportunity to bid. The market has established the best prices for the taxpayers."
Casey attributed the success of the "Premier Commercial Auction" to a tremendous effort by the RTC's marketing and operations teams. He also commended the contributions of Kennedy-Wilson, the nationwide auction-marketing firm and CB Commercial, a national commercial real estate brokerage firm, both of which assisted in the auction.
The auction which drew more than 800 participants, featured a wide range of properties, such as the DoubleTree resort hotel in Palm Springs, which sold for $18.1 million (twice the published reserve price); a self-storage facility in Los Angeles, which sold for $15.1 million; a shopping center on Florida's east coast, which sold for $9.5 million, and a retirement home in a Cincinnati suburb which sold for $8.6 million. Bids on one property did not meet the preset reserve price established by the RTC. The $5.5 million bid for the Executive Hills North II office buildings in Kansas City, Mo. is under consideration by the agency.
The "Premier Commercial Auction" was part of a major RTC effort to sell commercial residential properties through auctions. So far this year, more than $200 million has been recovered for taxpayers through auctions of over 7,000 properties.
A list of the properties sold at the "Premier Commercial Auction," including book values, reserve and sales prices is attached.
The RTC was established by Congress in August 1989 to contain, manage and sell failed savings institutions and recover taxpayer funds through the management and sale of the institutions' assets. To date, the RTC has closed or sold 582 savings institutions and achieved asset sales and collections of more than $201.4 billion. Approximately 18.9 million depositors and approximately $183.9 billion in deposits have been protected by the RTC's closing of insolvent thrifts. The estimated cost to taxpayers for these transactions is $77.6 billion.
PREMIER COMMERCIAL AUCTION
Thursday, Nov. 21
(At DoubleTree Resort in Palm Springs)
Prop. Prop. Location Book Reserve Sales
No. Name City/State Value Price Price
1 Victoria San Antonio $9,115,415 $4,480,000 $6,850,000
2 Addison Dallas $12,144,077 $3,040,000 $3,100,000
Natl' Bank Texas
3 Denton Denton $10,648,879 $3,670,000 $3,700,000
4 Doubletree Cathedral $34,913,167 $9,090,000 $18,100,000
Resort Hotel/ City, Calif.
5 Los Feliz Los Angeles $13,329,039 $13,750,000 $15,100,000
Storage & Calif.
6 Western Los Angeles $5,156,613 $2,700,000 $3,700,000
7 Sun State Phoenix $9,307,334 $5,110,000 $6,400,000
8 Canyon Phoenix $9,482,000 $3,070,000 $3,850,000
9 Desert Lake Phoenix $12,786,000 $5,300,000 $6,850,000
10 Executive Kansas City $12,728,250 $9,930,000 $5,500,000a
Hills North Mo.
11 Executive Kansas City Bldg. 7 $1,280,000 $1,550,000
Hills North Mo. Bldg. 11 $1,380,000 $1,250,000
Office-3 Bldg. 12C $4,130,000 $4,800,000
12 Cottingham Sharonville $10,700,000 $5,850,000 $8,600,000
13 Jupiter West Jupiter $13,010,537 $6,910,000 $9,500,000
Plaza Retail Fla.
14 Amerifirst Miami $50,000,000 $12,780,000 $12,780,000
(a) The RTC has 30 days to accept or reject this bid.
/CONTACT: Barbara Casey of Casey & Sayre Inc., 310-457-3676, for The Resolution Trust Corp. CO: The Resolution Trust Corp. ST: California IN: SU: SE-EH -- LA038 -- 6179 11/21/91 20:28 EST