LAS VEGAS-Grubb & Ellis Co. has been engaged by a group of five banks to promote the auction of 1,340 acres of undeveloped land known as Park Highlands in North Las Vegas. Together, the banks hold a 48% interest in the $178.9 million defaulted loan on the property, which is being sold under Bankruptcy Section 363.
With no initial bids permitted, the live absolute auction will be held Dec. 12. The land sale is expected to be one of the largest in Nevada since the property was first sold in 2005, according to Grubb & Ellis, which tells GlobeSt.com that the land is expected to fetch in excess of $50 million.
Curt Allsop, senior associate of investment services in the firm’s land group, will lead the assignment in conjunction with Doug Schuster, senior vice president of investment services in the multihousing group, and Vittal Ram, associate of investment services. The team will promote the auction on behalf of Bryan Cave LLP, a leading global business and litigation firm representing the five banks.
“This undeveloped property is the only parcel of land of its size available for purchase in Greater Las Vegas and the outcome of this auction will have a significant impact on the future growth of the region,” says Allsop. The land is zoned for residential, retail, resort, business and office use.
Land sales in Greater Las Vegas during the past 12 months for parcels 30 acres and larger have sold for a median price of $98,000 per acre and a high of $167,000 per acre, says G&E. Statistics show the largest sale was 141 acres, which closed in June of this year.
G&E tells GlobeSt.com that there is no minimum bid at this point. They also pointed out that the auction is expected to attract private equity investors.
GlobeSt.com also learned that Hillwood Communities had put in an initial stalking horse big of $15.2 million, but it was not approved by the bankruptcy court judge. Instead, they approved an amended plan to have an open bidding process with the creditors having the right to credit bid to obtain the land.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
