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Bearcat

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About Bearcat

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  1. Bearcat

    The Vue

    The Vue obviously won't be demolished and it certainly won't be converted to a hotel or some other use. The only problem with the Vue is that it was priced during a time when condo values were generally 25-35% above where they are today. The foreclosure process (slow and inefficient as it is) ultimately remedies this and prices come down to meet demand. Regardless of whether it is the developer or the bank, at some point the weight of enormouns carrying expenses and the futility of continuing to hold out for unrealistic premiums will become obvious to one or both parties and they will rea
  2. Bearcat

    The Vue

    None. I could literally show you hundreds of examples all over the country where this exact situation has played itself out...a small group or even as much as a 30-40% of old contracts close and then when the bank and developer are mostly certain that their efforts to cajole or in some cases threaten (with specific performance litigation if contract provides for it) early buyers will no longer bear fruit, they capitulate to the market (what else can they do ?) and prices collapse. All the early buyers can do is hope that 5-10 years down the road they can recover their original investment.
  3. Bearcat

    The Vue

    I doubt this to be the case. Typically, the developer doesn't pay HOA fees on unsold units until the project has been turned over to the Association, which usually occurs after about 75% of the units have closed or a period of a few years passes. Until then, new buyers pay HOA fees and the developer funds the difference out of his project budget. So, if the building continues to be staffed, utilitites are functioning and the property seems reasonably well maintained, the developer's budget is still funding this. I'm sure the bank loan included a line item to cover these costs for some r
  4. Bearcat

    The Vue

    That's very helpful. Thank you, atlrvr. After a quick look at the dec and a handful of the deeds here's what I see: The developer borrowed $195M or about $360/sf. Most of the deeds I saw were at pricing of just below $500/sf. So we can probably assume that the develop expected to make about $50M in profit assuming a sellout averaging $475/sf. They appear to need an average of $375/sf to make no profit, lose all their equity, but get the bank paid off. Fascinating stuff we're observing if you think about it. It's like a game of multimillion $ chicken going on right now between thi
  5. Bearcat

    The Vue

    There may indeed be 12 people living in the building but that doesn't mean that 12 people have closed on units. Regardless of whether someone pays cash or gets financing, a deed gets conveyed from the seller to the buyer. The ROD's website is currently showing its activity current through 1/28/11. So it's possible that all 12 of those folks all closed on their units after 1/28, in which case we should start seeing those hit the website next week. I don't wish the project any ill will but I do think that buyers ought to understand the difference between rumors and facts. I've seen t
  6. Bearcat

    The Vue

    Where did you hear that ? I hope that is true but unless those 12 closings happened with the last 4-5 days we should be seeing this activity on the register of deeds website. I'm wondering whether the "news" is really just the hopeful intent of the developer and/or broker. After all, with so many months having passed it's gotta be really tough to get the first few folks to take the plunge so I can understand why they'd be saying that. Unfortunately for the developer the ROD's does their job a little too efficiently so it doesn't allow for much lag (less than a week usually) for the de
  7. Bearcat

    The Vue

    A recent article in the Observer seemed to suggest that closings had been occurring though at a slow pace but I can't find any evidence of that. Here is the link to the register of deeds and when you enter vue charlotte there is only a few recorded documents other than the Declaration and none of them are deeds. Does anyone know of ANY closings that have occurred ? http://meckrod.manat...asp?cabinet=opr
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