And so reality, and realty, starts to catch up (with commercial real estate at least, if not with the market). Bloomberg reports that Sperry Van Ness and Guardian Real Estate Services LLC will conduct auctions on various commercial real estate properties in California, Idaho and other western states. Among the properties to be auctioned off include an apartment complex on the Wilshire corridor and land in Rancho Cucamonga (famous for nothing, except being host to America's biggest liquor store Liquorama). The kicker: minimum bids will be over 90% off of peak market values. So if you are a tenant in some crappy mall in the inland empire and are paying roughly this much to SPG or GGP, you may want to consider just buying for the same money you would pay for one year's rent. Oh, and Merrill - all those REIT rent calculations... feel free to throw them out of the window.
For all interested strip mall tenants for whom Brazilian waxing provided to be a bumper cash crop last year, you can get info on the auction here.
(and no, this is not a sponsored post - it is useful to see what this kind of toxic garbage goes for these days).
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