Richard Bowers & Co./TCN Worldwide Sells One of Atlanta’s Most Complex Transactions of 2018
Richard Bowers & Co. in Atlanta represented 119 separate Sellers.
“Many people ask how hard is it to do a condominium Buyout or Assemblage with 119 separate Sellers? The answer is, harder than you could ever imagine!”
In 2014 Richard Bowers & Co. (RBC) presented the option of representing the unit owners (Sellers) of the 55 Pharr Condominium and facilitating the assemblage and sale on their behalf. One Seller stated they have attempted to assemble 55 Pharr for the past 18 years.
RBC referred & introduced the appropriate attorneys who represented the Sellers & their HOA on several different topics and issues throughout the sales process.
Through RBC’s marketing efforts, we were able to bring a total of 17 offers from qualified Developers, in which we presented to the group of Sellers.
We then held a vote to determine which Buyer the Sellers wanted to push forward with. We used a diplomatic approach to making any and all decisions concerning the sale by holding a community (Seller) vote on everything, to include voting on which Buyer to push forward with based on the Buyer’s offers and terms.
At this time we proceeded forward with our first Buyer.
We dealt with a lawsuit that we believed would kill the deal, but it eventually got dismissed. We also dealt with Environmental issues including Groundwater Contamination along with Asbestos and Lead-Based Paint. The remediation cost was expensive, and due to this, the First Buyer’s Capital Partner dropped out of the deal.
However, RBC realized the First Buyer was a qualified local operating partner with a ton of knowledge on the property. More importantly, they were still interested in purchasing. RBC began to search for different equity/capital partners in which we could introduce to the First Buyer, with the hopes of them partnering and acquiring the property.
RBC made thousands of calls to equity partners throughout the Nation over several months. RBC spoke with many intrigued equity partner prospects and spent a lot of time scheduling conference calls and introducing them to the operating partner. After every attempt to salvage the sale, in the end, the first Buyer dropped the deal. At this point we were running out of time and thought the deal was dead, yet again.
Through RBC’s search for an equity partner for the First Buyer, we stumbled across a prospective Buyer located in California. This Buyer was interested in purchasing outright and submitted a solid offer. After RBC presented the offer to the group of Sellers, there was a unanimous vote to push forward with this Buyer and their offer.
This Buyer was firm about touring every single condominium unit during their due diligence period. RBC scheduled each and every unit tour for the Buyer and their property manager in order to do a walk-through of the units. It proved challenging to coordinate, plan, schedule and walk-through each all of the units with the Buyer.
When it came down to closing, RBC assisted the closing attorney with rounding up many stragglers during the closing process and encouraged the Sellers to mail in or schedule a time to meet at the closing attorney’s office to sign their closing documents. RBC also assisted Sellers by referring residential real estate agents to help them find new properties, along with providing 1031 Exchange information and facilitators.
In the end, the Buyer closed on 119 condominium units for $16,360,000. RBC worked with this group of Sellers over the course of five Christmases and New Year’s Holidays before fully achieving success.
The project will be at the epicenter and the catalyst for a high-density mixed-use development in the heart of Buckhead Village. The project will result in a more connected village, not only by providing additional residential/commercial uses but also increasing the area's walkability.