Sold for $95 million back to the lenders. In a lackluster showing of cash flush investors, the property will stay in the hands of the current lenders… for now that is.
The stage was set and we were just waiting for the players. Folks, the money trail wasn’t anywhere in the house today. The court room was abuzz with many high end real estate agents. (Side note: 1) I didn’t realize that Wicked Wahine perfume is still in production and 2) Come on man…shorts in the courtroom…really?) Early predictions were that bidding would get to levels in the 200 million range. Yet only 2 qualified bidders showed up for the buy of a lifetime, which in my opinion fell flat. I suppose now is when all the posturing begins. Who will approach the lenders first for a private sale? (A private sale would be my guess.) Here is how the bidding unfolded:
57,750,000 – Overbid
95,000,000 – Sold
It was a very interesting experience. After weeks of contemplation, I have come to a few conclusions about what will be the outcome when the property gets eventually sold. I believe that the value in the property is not in the resort as a whole. Rather, the value lies in the undeveloped land. That undeveloped land, however, becomes less developable (is this a word?) as time goes by. There will be development but the question is just how much? A theory floating around is that the buyer will slice up the property and spin/sell off the various pieces. Does a hotel really need 2 golf courses? Maybe one could be further developed to a different use. Hey Oprah, you could have added onto your estate!
Well, you can be certain that this saga is not over. I pledge to you that I will be on top of all breaking details.
Please read my original blog that started this all: Makena Beach & Golf Resort Foreclosure Sale
If Makena Beach is new to you, please view my Touring Makena Beach video:
If you would like to see the available residential inventory in Makena Beach, please view my Makena Beach Luxury Homes gallery.
And finally, if you would like to make Makena Beach your home, contact me.