New York commercial properties emerging on the auction block

TRD New York /
Mar.March 25, 2009 11:57 AM
Aqueduct Racetrack

Auctions are already gaining momentum on the residential end, and commercial property owners in New York City are also starting to turn to them to unload properties.

David R. Maltz & Co., a Plainview, NY-based auction company, is slated to auction 64 surplus tax lots owned by the New York horse Racing Association in Ozone Park, Queens, near the Aqueduct Racetrack on May 13. The parcels, which the NYRA has owned for more than 20 years, range from 2,000 to 75,000 square feet and are mostly in residential developments. The company is also readying to conduct an auction for a 25,000-square-foot industrial building in Ronkonkoma, N.Y.

While in other cities commercial buildings have been purchased at auction, no major office buildings in Manhattan have yet been auctioned, said Richard Maltz, vice president for real estate at David R. Maltz & Co.

Officials at the company and auction house Sheldon Good & Company say most of the commercial auctions so far have been for residential properties with multiple units, including condominiums, townhomes and single-family homes.

Michael Fine, director of marketing for Sheldon Good, said auctions will soon be popular in Manhattan.

“We’ve been involved in selling a lot of office building product over the years,” he said, including a building in Kansas City about 18 months ago for $18.5 million. “Typically it happens in this kind of market. It hasn’t happened yet in Manhattan, but there will be more auctions of office buildings in metropolitan areas around the country.”

Sheldon Good will soon auction 30 condos, available in bulk or individually, in a Weehawken, NJ development, a 75-acre home development in Tarrytown, N.Y. and a two- to three-acre property in Larchmont, N.Y., approved for condos.

New York City home sellers have already become familiar with the ways of the auction. The huge glut of condos around the country is being worked off through auctions.

Recently, California-based real estate auction marketing company Real Estate Disposition recently auctioned more than 375 foreclosure properties in the New York City metropolitan region, northern New Jersey and northeastern Pennsylvania at the Jacob Javits Convention Center.

Auctions have two main advantages for the sellers: they are able to control the date their property will be sold, and they don’t have to worry about negotiating a price, Fine said, adding, “An auction accomplishes both goals.”

Related Articles

(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Wendy Silverstein (Credit: Getty Images)

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

A photo of the protest (Credit: Housing Justice For All via Twitter)

Rent-control fans protest think tank — in wrong location

Renderings of Brookfield's Bankside in the South Bronx (Credit: ArX Solutions)

Here’s what Brookfield’s massive South Bronx project will look like

(Illustration by Maciej Frolow)

The suburban S.A.L.T. shakeout

Coming soon: The Real Deal’s 2020 Data Book

Coming soon: The Real Deal’s 2020 Data Book

Daily Digest Thursday

What Soho’s rezoning may look like, agents revolt against StreetEasy price hike