Case Studies

71 Clinton Street, New York, NY

 

SELLING A DISTRESSED ASSET FOR A “NON-DISTRESSED” PRICE

 

Property: 71 Clinton Street, New York, NY

 

Challenge: Selling a distressed asset within a short timeframe due to an impending bankruptcy sale. 

 

Story: The subject property is a 7-story, 15,500 SF walkup building containing 22 residential and 2 retail units located on a prime corner in the heart of the Lower East Side.   It was facing foreclosure and the owner was still looking to make a profitable exit.  The building was first marketed by our competition (another Top 3 brokerage firm) for six months, yet they were unable to get a contract signed for $14,000,000 (the stalking horse minimum). Realizing that time was of the essence due to an impending bankruptcy sale, the debtor fired the other firm and exclusively retained Besen & Associates to run a 30-day marketing campaign.

 

Results: After procuring 34 qualified bids, the property was sold for $16,050,000.  This number represented a record sale in the area of $1,037 per square foot, an enormous premium over the market.

 

Involved: