Miami Company Helps Banks Repair and Reposition Foreclosed Properties
Miami, FL - In a market where only the fittest survive, Bayshore Land Group is flexing its innovation muscle to continue serving clients. The Florida commercial real estate specialist is updating its strategies with the shifting economy, offering new advisory services for banking and lending institutions inheriting commercial and residential real estate in the wake of swelling foreclosure rates.
As MacNair described, Bayshore’s REO management process offers three service areas: acquisition/analysis, preservation/renovation and disposition. The firm is currently helping lenders reconcile 60 foreclosed properties, and is prepared to at least double that volume in the second half of 2008.
Bayshore Land Group also owns a South Florida construction company, so we are uniquely qualified to enter a situation - whether its commercial property or a home left in despair - make the necessary repairs and put the property back on the market quickly
Of course, helping REO’s solve the challenges inherent in vacant foreclosures means taking on risks, which include significant time and resource investments, strong broker relations and profitable sales strategies. Repair can be the lengthiest step in the process.
Foreclosed properties sitting vacant often fall victim to vandals. Newspaper reports speak of squatters taking up residence in abandoned condos, and vandals arrested for trashing foreclosed homes.
“Sometimes it’s an embittered property owner with a “scavenger mentality” who vandalizes a home on the way out the door, removing windows, metal piping or pulling ceilings out,” MacNair said.
Perhaps the biggest challenge is rushing to repair the facilities before additional damage is done. Bayshore Land Group takes on the repair work through its construction division and then manages the property for the owner. Bayshore’s valuation group then values the property through extensive research. The firm may serve as listing agents on specific properties locally, but typically works with a statewide network of independent brokers established in the past 25 years to resell the properties.
“The market is changing dramatically. What’s going to happen with all these properties that are being repossessed and repositioned,” asks Bayshore’s President, Jay Fertig. “They are going to resell at a price the market finds at its equilibrium per square foot. Right now, we are seeing most of the activity with lower-priced properties. So, as soon as we can clean up the property and put it back out there, we receive offers because everyone is looking for a bargain that is more readily finance-able.” For more information visit: www.bayshorelandgroup.com.