Updated over 10 years ago on . Most recent reply
Blind Auction? Commercial Real Estate?
I know this board is mainly for SFHs, but wanted to discuss CRE auctions.
There is currently hotel in foreclosure being auctioned off soon. The hotel is being auctioned off. This is essentially a blind auction as in no documentation is provided for due diligence including financials. The property is going to auction for more than $3 million, which is my guess. It will be 30 days to close, but my concern is that there are no lenders out there that will finance a property without financials even if I give a very good personal guarantee.
BTW, the property is worth around $6 million based on the current income it is most likely doing, but there is no information being given. Are there lenders out there that have do no document bridge loans? I know its a stretch, but keep in mind it comes with a full personal guarantee. We also own more than $10 million in existing hotels so this property is much smaller for us.