- posted 9 years ago
I will be viewing an investment property in the Chicago area that is a warehouse. This is a sealed bid sale, due to bankruptcy of a company and auctioning off a property that is now owned by the bank. The company was defunct for some time.
It is a part of sale of o ther assets of the company, such as manufacturing equipment.
This is a substantial size warehouse (16,000 sq ft) and minimum bid starts around $12/square foot.
Due to my inexperience with commercial real estate, I will be sure to submit a ridiculously low bid, which will surely hurt my chances of getting it, but will at least make sure that all surprises are good surprises in case if I get it.
Right now Chicagoland is drowning in vacant commercial properties and prices have tanked, and so far continued on a downward path. As a contrarian, I think that this is a better tiem to buy it than at the crest of commercial RE enthusiasm. Nevertheless, even in this environment, it is important to be discriminate and to get a great deal relative to prevailing prices.
I will be viewing this property tomorrow in the afternoon and am interested in what questions I could ask to uncover hidden problems.
Any advice from the more knowledgeable members will be appreciated.