Hello Level III Candidates!
Would any of you be able to provide brainy insight as to what details or methodology you feel I should pay close attention to when figuring out a fair wind up value of a condominium complex that is sitting on a large parcel of land?
The 180 owners - many of which are VERY old - feel they’re being short changed by hundreds of thousands, and that scare tactics may have been used to some degree. The land reportedly worth ~$80 million, is located in a prime neighborhood. Taking a moment to be the devil’s advocate, the lowest any 2 bedroom sells for in that neighborhood (outside of the complex) is $550 for vintage condos without land beyond what the structure is built upon, and $600k for new condos, also without additional land, but because they potentially have $15-20 million in deferred maintenance expense on the horizon, an offer of $450k might seem reasonable?
What are your thoughts?
I should mention, the maximum buildable square footage is around 525,000, and due to the local housing crises in a nearby city, the developer can choose to apply for subsidies for all or part of the development.
I’m soliciting your opinions because some residents seem to feel this is a real David and Goliath battle. I’d like to set their minds at ease, OR go back to the listing broker with material information that they might have missed in their initial valuation. Everything is being fast-tracked. Unfortunately, time is of the essence for my relative and the other 179 owners.
Looking forward to seeing your thoughts and suggestions.
This is above my grade level. (Passed Level I )