Yesterday I have received the contact through AR about Marina Grande on The Halifax.
"is there any kind of auction on these units?"
Marina Grande on the Halifax today is two 25-story towers built on the Intracoastal right by the bridge in Holly Hill, one of municipalities of greater Daytona Beach area. Planned for 4 towers with 972 units, thhiswas a welcome development on the Intracoastal, the best of its kind.
The first tower was pre-sold pretty fast, and the developer - Boca Developers from South Florida, decided not to wait and put the second tower practically at the same time as the first tower. however, the timing was off, the pre-sales were getting slower, and, as far as I know, developer never pre-sold more than half of the second building.
They scraped the plans for Towers 3 and 4, but this did not alleviate the problems withtwo towers that they have already built. They had quite a number of cancellation, when prospects refused to sign the contract and walked away with their reservation money. many of those who signed the contracts and put 15% deposits, refused to close. A group of owners joined in the lawsuit against the developer, and this lawsuit was settled.
I heard of another lawsuit of would-be owners from Latin America, where the developer actively tried to sell the units. And I also know of another lawsuit in the works initiated by those who closed on the units. Meanwhile the developer could no longer maintain the property and they turned it to those who financed the project, and it is managed now by Momentis Property Group.
The rumors have it that there is a $192 Mil debt.
There are 9 Two- bdr units and 2 Three- bdr units for sale in two towers. The lowest price is $175K for a Short sale unit on the 14th floor, and up to $589K for a "regular" sale with the remaining units in between.
So, what is going to happen? The new management company is fighting lawsuits, and are not providing any information. Can they offer units for sale by way of auctioning them? They sure can. So, what prices can we see there? Well, if the mortgage is $192 Mil and there are 486 units in two towers, but about 74 were sold, a simple math shows that just to recoup the investment the Lender will have to set the average price per unit to $466K per unit, which is pretty much the starting prices in this complex.
Well, let's assume that the lender would agree to an extreme generosity and would only seek half of the amount, it would still be $233K. Why wait for an auction, when now you can buy a unit (if we would be able to clear all the hurdles and get it to closing) for only $175K? Gorgeous property, incredibly priced units (2 units priced for less than $200K)...
If you are interested in Marina Grande on the Halifax, or any other condo/condo-hotel in Daytona Beach Area, call me at 386-405-4408 or drop me a line in the e-mail
Comments(2)