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Show Park Avenue Condominiums Are Sold I t r . . )!- . .. - ft - - w. , Last week, Park City made real estate sales history, when $5.2 million worth of condominiums were sold in less than five days. The sales constituted all the 110 yet unsold Park Avenue Ave-nue condominiums. Apart from merely selling the units, there is also a waiting wait-ing list of 50 people who will buy if any recent purchaser wishes to back out. There is also talk of offers in the several thousand dollar range being offered to purchasers pur-chasers to back out so to speak. There was a reported foot race between two individuals with checks in hand scrambling scram-bling to buy the remaining unit. A real estate salesman on the scene couldn't believe his eyes. "I've never seen anything like this in my life," commented the gentleman, gentle-man, "people are actually fighting to buy these things. For two years everyone was fighting to sell them and now they are fighting to buy-it's buy-it's unbelievable." The mad rush to buy the Park Avenue condominiums started last Monday when Union America, who principally prin-cipally financed the units in the first place and who recently re-cently took them back in re-ceivership re-ceivership when Alpine Meadows took over Greater Park City Company, reduced reduc-ed the price on each unit at least 30 per cent. Three bedroom units, formerly for-merly selling for $74,500 went for $53,000, two bed room units, which previously pre-viously soldfor$64, 500 were marked down to $49,500 and many went for as little as $45,000. The one bedroom condominiums were marked mark-ed down from $42,500 to $29,500 and again there was talk of some units going for substantially less. According to Rick Becker, Beck-er, who directs Union America's Am-erica's Park City operations the decision to drastically reduce the price on the Park Avenue units was made jointly joint-ly by himself; Union's chairman, chair-man, Don PrellandDonVolk, Union's president. "We were very anxious to sell the units," said Becker, "and the 30 per cent reduction was what we felt necessary to move them as rapidly as possible. We were astounded as-tounded when they went in five days," commented Mr. Becker, "we were expecting it to take at least a year." Union America had apparently appar-ently decided to sell only the first 24 units at the reduced price then increase the unit price gradually over the year, but when the rush started, no one was sure just when 24 units had been sold subsequently they all were sold at the reduced price. Apart from getting a Park City condominium at below cost, buyers of the units also received a free family ski pass. One new owner who was sitting in a chair in the condominium he had purchased the day before by telephone, just looked around and said, "I'm just pleased as punch at this deal." Most of the units went to Salt Lakers, which according ac-cording to Becker, will greatly benefit the town in that they will most likely use the units more than an out-of-state owner thus generating gen-erating more revenue in Park City at a more predictable pre-dictable rate. Mr. Becker also indicated indicat-ed that the building defects inherant in the Park Avenue condominiums will be eliminated el-iminated at no cost to the individual owners. The problem prob-lem of freezing pipes in the back bathrooms was taken tak-en care of in April and they have accepted bids to fix the leaks in the roofs. When asked if the price reductions could affect all property values throughout Park City, Mr. Becker said that contrary to the belief that Park City property values will decrease as a result of the sell-off property prop-erty values will probably increase. in-crease. He attributed the increase to a demand over supply situation sit-uation caused by the recent liquidation of the Park Avenue Ave-nue units. "The previously unsold Park Avenue condominiums condo-miniums had created a situation sit-uation in Park City where supply far exceeded demand," de-mand," said Mr. Becker, 'Since property values are subject to the supply over demand market theory (the greater the demand over supply, the higher the price individuals will be willing to pay for those goods in demand) de-mand) then the reduction m available property in Park City will increase the value of that which remains on the market." The most unusual aspect of the multi-million dollar transaction is the fact that the listing was given to Salt Lake real estate brokers Gump & Ayers rather than Hal Taylor Associates, who were previously the exclusive ex-clusive brokers for property developed by Greater Park City Company, Gump & Ayers, whose business license li-cense has yet to be approved by the City Council netted at least $100,000 in listingcom-missions listingcom-missions alone (35 per cent of the six per cent commission commis-sion normally paid the salesmen) sales-men) not to mention the usual six per cent commissions paid on well over half the units which were actually sold by Gump & Ayers salesmen. sales-men. Mr. Becker refused to comment on why the Salt Lake firm was specifically chosen over Hal Taylor, but did indicate that they wanted a broker with ties in theSalt Lake market as well as a firm who offered a multiple listing service all of which Gump & Ayers could provide pro-vide and judging by last week's sales did provide. Gump & Ayers has also been awarded the listing on the Holiday Ranchettes, which Union America acquired ac-quired along with the Park Avenue Condominiums. Un- The Park Avenue condominiums, which by their poor sales could be greatly blamed for GPCC's downfall. All the yet unsold units were sold in five days last week constituting a record $5.2 million transaction. ion America has made some price changes on the ranchettes ran-chettes as well raising the price of some lots and lowering low-ering the price of others. They will continue to offer a 10 per cent discount for cash and an additional 10 per cent discount if the buyers can occupy their homes by November '76. The Holiday Ranchette listing was also previously in the hands of Hal Taylor Associates. When contacted, Mr. Taylor indicated that he would make a statement to the Record next week after the effects on last week's sales can be fully analyzed. Meanwhile, Bill McComb who was formerly with Hal Taylor Associates and a brother-in-law of Rick Becker, has been appointed the Gump & Ayers representative rep-resentative for Park City. |
