Copia Appraisal Reveals Drop In Value, Big Challenges For Potential Buyers

Flooding, high maintenance costs, awkwardly configured spaces and unfavorable ground-lease terms will aggravate the challenges of the current recession for any potential buyer of the bankrupt Copia assets according to the full version of a current appraisal recently made part of the court records.

Because of the intensive research, analysis of comparable land and building valuses, as well as economic and financial conditions, this appraisal report has broad significance beyond the specific  Copia data.

(Please note the link above is to the full appraisal, a 13.7 MB .pdf and is accessible by VIP subscribers. Subscription information is here. The appraisal is also divided into 10 parts for easier download. Those can be located by browsing the DataCellar.)

$30M AUGUST PURCHASE OFFER SPURNED, TOTAL VALUE NOW LESS THAN $25M

Two potential purchasers dodged a multi-million-dollar financial bullet when Copia turned down their offers in August and November 2008.

According to the appraisal by respected commercial appraisal firm Hulberg & Associates, the total value of the property and buildings is $24,860,000 as of March 31. That is down from $28,670,000 on Dec. 1, 2008 and substantially lower than the rejected offers.

Also in this 1,058-word article:

• THE REJECTED $30 MILLION OFFER: HOTEL, CONDOS, RESTAURANT & RETAIL

• THE REJECTED $28 MILLION OFFER: REIT HAS CASH, WILL SPEND

• CONTINUING TO DODGE THE BULLET DOWN TO THE BOTTOM

• COUNT ON PRIVATE CAPITAL, NOT BANKS

• GROUND LEASE ON OXBOW “WELL BELOW MARKET”

• FLOOD ISSUES WITH EXCESS LAND

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