1311 East Club Blvd.

Challenge

The marketing of 1311 E. Club Blvd, a 14,615 SF warehouse building, began in February 2023, right after the Federal Reserve announced it’s eighth interest rate within 11 months, and weeks before the collapse of Silicon Valley Bank and Signature Bank. Escalating borrowing rates, a generally turbulent debt environment and a slowdown in deal velocity across all asset classes made it a challenging time to bring this property to market. Furthermore, the owner had already collected several offers over the last couple of years and questioned whether or not he even needed an advisor.

Action

With specific expertise in Durham industrial sales market, we knew what we were capable of selling the property for even with the choppy debt market. Our honest and thorough broker price opinion gave the owner the confidence that hiring us would yield the highest sale price even net of our fees. We advised the client to pre-inspect the property to identify any defects prior to listing and to help prevent retrading after a contract is signed. Furthermore, we identified potential buyers we knew because of our close monitoring of and networking within the Durham industrial market, but also widely marketed the property in order to give it maximum exposure and drive the highest price.

Result

The property was placed under contract very quickly at the higher end of our broker price opinion and with a short due diligence period. The buyer closed with cash and there was no attempt at a retrade. The owner was able to complete a 1031 exchange, purchasing two properties that were already placed under contract prior to the sale of the down-leg subject property.

Testimonial

“I was very happy with both the process and the outcome. Carey’s knowledge of the industrial market was evident and allowed us to reach the desired price in a short amount of time. It was generally non-eventful, which is truly what I wanted!”

- Reed Frankel, Owner