Jump to content

Showgirls Galleria on Market ave for sale

GRDadof3

By GRDadof3
in Grand Rapids

Recommended Posts


  • Replies 20
  • Created
  • Last Reply
GRDadof3 Ecumenopolis

GRDadof3

Posted
  • Author
Posted

I heard about this last week in the GRBJ.  I just can't see him getting 6 million or anything close to it.  SEV puts it at 850k. 

 

If I'm an industrial developer, there are far cheaper and much more plentiful options than this $6 Million parcel.

 

If I'm a residential developer, I'll have a hard time getting tenants or condo buyers for a spot in the middle of an industrial zone that overlooks warehouses (see Icon on Bond). And it's too expensive.

 

Who's left? GVSU? I don't think they'd buy it. It's an island far separated from their other campuses.

Link to comment
Share on other sites
egrguy Burg

egrguy

Posted
Posted

Interestingly, Mark London a) wants way too much money for it and b) he doesn't really want someone to keep it going as an adult entertainment complex.

http://www.mlive.com/news/grand-rapids/index.ssf/2014/02/showgirls_galleria_adult_night_1.html

Point two makes a lot of sense since he owns Showgirls by 28th/Beltline. Why encourage competition. $6M is a ton of money. Isn't that what the overpriced BK sold for in the heart of medical mile several years ago?

What would be a fair price for 2 acres outside of DT that the seller wants you to raze the building? $1.5M?

Link to comment
Share on other sites
GRDadof3 Ecumenopolis

GRDadof3

Posted
  • Author
Posted

Point two makes a lot of sense since he owns Showgirls by 28th/Beltline. Why encourage competition. $6M is a ton of money. Isn't that what the overpriced BK sold for in the heart of medical mile several years ago?

What would be a fair price for 2 acres outside of DT that the seller wants you to raze the building? $1.5M?

 

I think in that area, $1 Million per acre is probably more reasonable. How much did The Rapid pay the DDA for that lot where the Amtrak station sits now? The building isn't worth anything, it's actually a cost that you'll have to pay to tear it down, so it detracts from the value. Couple hundred thousand in demo costs?

Link to comment
Share on other sites
GR8scott Burg

GR8scott

Posted
Posted

Founder's? Eventual expansion across Finney could only be a few years away at the pace they have been drowing. I think a "gentlemens club" belongs downtown for the tourist and businessmen that like to frequent them but with the cover-up ordinance in place I highly doubt there would be any chains that move in there and that price probably not another small local person willing to operate as 

Link to comment
Share on other sites
fotoman311 Burg

fotoman311

Posted
Posted

I heard about this last week in the GRBJ.  I just can't see him getting 6 million or anything close to it.  SEV puts it at 850k. 

 

With the SEV, that puts the assessed market value at around $1.7 million.  The SEV actually went down by $100,000 from 2012 to 2013, which seems odd.  I have to agree with Veloise and say the astronomical asking price was probably just to get some free publicity.

 

Based on the surroundings, I can't picture much else going there right now other than a Founder's expansion, but maybe there is another industrial company looking for that kind of space that will work down the price.  I guess it depends on how badly he really wants to sell.  He only paid 800k for it 10 years ago.

 

One other possible consideration that could trigger interest from a deep-pocketed buyer is whether this parcel is on the proposed streetcar route.  That'd still be a pretty big gamble at this point, though.

Link to comment
Share on other sites
joeDowntown Metropolis

joeDowntown

Posted
Posted

I wouldn't discount the Secchia factor. He gobbled up a ton of property in that vicinity a few years back. And he could gobble this property up to add more to his holdings / get rid of the strip club (thou shalt not show nipples in MY town!) as a public service. Even if he cut a 50% discount, London is still getting pretty good ROI. :)

 

Joe 

Link to comment
Share on other sites
GR8scott Burg

GR8scott

Posted
Posted

I wouldn't discount the Secchia factor. He gobbled up a ton of property in that vicinity a few years back. And he could gobble this property up to add more to his holdings / get rid of the strip club (thou shalt not show nipples in MY town!) as a public service. Even if he cut a 50% discount, London is still getting pretty good ROI. :)

 

Joe 

I could see Secchia keeping it as a strip club and use his political clout to reverse the cover-up ban and make a lot more money there....plus he would get free lap dances 

Link to comment
Share on other sites
  • 2 weeks later...
tamias6 Town

tamias6

Posted
Posted

I could see Secchia keeping it as a strip club and use his political clout to reverse the cover-up ban and make a lot more money there....plus he would get free lap dances 

 Tee Hee! With possibilities like that, where my wealth and political clout?

Link to comment
Share on other sites
x99 Burg

x99

Posted
Posted

At the peak of the market in 2004 he paid $800,000 for it.  The location is not great, really, and I think you would be hard pressed to get much over a million unless he had to do a large amount of site improvements.  Yeah, yeah ... downtown is booming.  But this isn't downtown, and unless Karl Chew wants it for a low income housing project, who is going to be nutty enough to pay that for two acres?  Commercial potential is negligible, and residential potential is suspect, at best.  The area is not well suited for either of those.  The best potential is...drumroll please...industrial/warehouse.  Which means it's going to have to be priced like any other comparable space.  If the idea is that Founders would pay it, then ... well, someone isn't thinking.  Makes more sense to buy something for a reasonable price in an industrial park.

Link to comment
Share on other sites
  • 2 weeks later...
terra firma Whistle-Stop

terra firma

Posted
Posted

London must be dizzy from watching the girls twirl around those brass poles, no reasonable industrial use could support more than what he paid for it in 'o4 and it's really not in anybody's way for future development in future, foreseeable decades.   I don't get it.   I suppose he's disillusioned thinking people need him gone but who would that be ?  Its not Founders, not the City, not (one of many good neighbors)  Secchia (why did someone suggest this?)     I'm sure it'd be fun to meet the girls and all, if they were included in the sale,  but the price of admission is nuts and his "I'm in the way" mindset ignores the facts of his underwhelming location. Just another squirrel trying to get himself a nut.

Link to comment
Share on other sites
joeDowntown Metropolis

joeDowntown

Posted
Posted

I said Secchia as a joke. Though at one point he was gobbling up real estate all along that corridor. 

 

Joe

 

London must be dizzy from watching the girls twirl around those brass poles, no reasonable industrial use could support more than what he paid for it in 'o4 and it's really not in anybody's way for future development in future, foreseeable decades.   I don't get it.   I suppose he's disillusioned thinking people need him gone but who would that be ?  Its not Founders, not the City, not (one of many good neighbors)  Secchia (why did someone suggest this?)     I'm sure it'd be fun to meet the girls and all, if they were included in the sale,  but the price of admission is nuts and his "I'm in the way" mindset ignores the facts of his underwhelming location. Just another squirrel trying to get himself a nut.

Link to comment
Share on other sites
GRDadof3 Ecumenopolis

GRDadof3

Posted
  • Author
Posted

London must be dizzy from watching the girls twirl around those brass poles, no reasonable industrial use could support more than what he paid for it in 'o4 and it's really not in anybody's way for future development in future, foreseeable decades.   I don't get it.   I suppose he's disillusioned thinking people need him gone but who would that be ?  Its not Founders, not the City, not (one of many good neighbors)  Secchia (why did someone suggest this?)     I'm sure it'd be fun to meet the girls and all, if they were included in the sale,  but the price of admission is nuts and his "I'm in the way" mindset ignores the facts of his underwhelming location. Just another squirrel trying to get himself a nut.

 

Not only do people I talk to "not" want him gone, they want the city to do away with the stupid topless ordinance. #LegalizeNipples is the slogan I keep hearing. You heard it here first.

Link to comment
Share on other sites
  • 4 weeks later...
  • 2 weeks later...
terra firma Whistle-Stop

terra firma

Posted
Posted

How much money did London get from that quack from the "Mystery Project" for the option?

 

Ah you are talking about Duane Faust, i miss the guy.  The answer is 'not much'.   Never seen such a media frenzy occur with such little outcome, it was actually kinda fun to watch, but there was nothing substantive there, despite a couple people on the list who had credibility.

 

Lots of otherwise reputable people showed some low cards on this one !

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

Go to topic listing

  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...

Important Information

By using this site you agree to our Terms of Use and Privacy Policy. We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.