MARINA DEL REY, CA - With a vast number of distressed commercial properties hitting the market, auctions are increasingly becoming a proven method of bringing buyers and sellers together to determine market price. The flaw, however, with the traditional auction model is that it excludes or limits participation by the broker – the one party that best understands the local real estate market and buyer pool. Because of this, CB Richard Ellis, Cushman & Wakefield, Voit Commercial Brokerage and Collins Commercial have selected AuctionPoint.com, a new online broker-centric auction platform, to sell commercial properties in Southern California. Using the AuctionPoint platform, these brokerage firms have created unique online auction sites – each site dedicated to a specific property auction – which will open for bidder registration on August 10 with auctions taking place in September.
"It's been frustrating trying to bring buyers and sellers together in this market, and while I believe in the value of the auction model, I haven't been able to utilize existing auction platforms until now because they disengage the broker," said Gary Stache, Executive Vice President of CB Richard Ellis. "We chose AuctionPoint because it gives the broker – the market expert – control over the entire auction process, including marketing the auction to the right pool of buyers. For commercial real estate, holding the auction online instead of in a hotel ballroom makes perfect sense, and we believe that AuctionPoint's technology will be the next wave solution for sellers of distressed properties."
"AuctionPoint will change the way the commercial real estate industry does business. This technology solution was developed specifically for use by brokerage firms, to address current market conditions. It creates an efficient sales process for brokers while leveling the playing field for all bidder-participants so that a fair market value is achieved. Keeping the brokers at the center of the process is the key to running successful auctions, and having several leading brokerage firms on board utilizing AuctionPoint is a testament to the advantages of our model," said Joseph Tang, co-founder of AuctionPoint.
AuctionPoint's robust functionality takes into account the complexities of commercial real estate transactions, accommodating everything from detailed property information to extensive due diligence materials. During the registration period, brokers can review the list of registered bidders and qualify bidders to participate. On auction day, brokers know which bidders are in the virtual auction room, when they entered and can view the full bidding history. Each bidder is also aware of the current high bid, creating a completely transparent process. "Unlike other auction models, AuctionPoint empowers local brokers to run their own auctions," said Keith Yang, co-founder of AuctionPoint. "Brokers understand their own markets and are best suited to find the right buyers to participate in the auction."
AuctionPoint, a sophisticated new online auction tool, will change the way the commercial real estate industry does business. At a time when the market is at a standstill, auctions motivate buyers to get off the sidelines by offering low minimum bids, absolute deadlines and transparent bidding. Created by technology entrepreneur Joe Tang and real estate developer Keith Yang, AuctionPoint provides commercial real estate brokers with a platform to run the entire auction process online. Using AuctionPoint, brokers can now create customized online auction sites, and configure the auction parameters to address the needs of the specific property and seller. Brokers market listings as they have traditionally, but now drive potential buyers to their auction website, where buyers have access to all property details and due diligence materials, creating a much more efficient and streamlined sales process.
Source: AuctionPoint