After a few weeks of rumors, it was announced that the developer for Olive 8 is planning to auction 34 of the units on September 19, 2010. If you are not familiar with the Olive 8, it is a downtown Seattle condominium that is built on top of a Hyatt hotel. The condo is a luxury development that offers hotel services to its residents, so you could take advantage of valet, room service or housekeeping at your home. Definitely luxurious and convenient, but definitely pricey as well!
Sales at the Olive 8 condo have struggled after initially pre-selling most units. They are planning to auction 34 units on the lower floors 18 through 26. The “sky suites” on floors 27 through 39 are not part of the auction.
There have been a number of Seattle condo auctions over the past year or so, with most of them having a quite lively and festive auction event, to say the least. To be successful at one of these auctions, you need to do your homework upfront and keep your wits about you to avoid overpaying. Unlike the previous auctions we’ve attended, this one has a sneaky little gotcha in the fine print:
All homes have an unpublished reserve price (Unpublished Reserve Price), which means that the seller has established an unpublished minimum selling price. The Starting Bid is not the reserve price. In order to become the winning bidder of a home, a bidder must have the highest bid and meet or exceed the unpublished reserve price. The highest bid is subject to acceptance by the seller. With respect to a high bid less than the seller’s reserve, the high bid, resulting purchase documents/offer are subject to the seller’s acceptance, counter-offer or rejection during the auction, in the contract room and/or within five (5) days following the auction.
So, they are trying to lure you in with minimum bids that the developer will not actually accept, and you won’t know if your winning bid is high enough until they later tell you if you have met the Unpublished Reserve Price.
Like we did at previous Seattle condo auctions, findwell agents plan to participate and represent buyers in this process if you are interested in buying a unit at the Olive 8. By working with a findwell agent, you do have the opportunity to use our commission rebate towards your closing costs. Be aware, however, that agent participation rules must be followed and you must register us as your real estate agent prior to the auction. Please contact us if you are looking for agent representation at the Olive 8 auction.