Home auctions show signs of promise — to a point

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Residential real estate auctions are gaining a bit of traction in the Pikes Peak region, though the results so far are decidedly mixed.

Last weekend, a Pinnacle Auction Group sale in Denver featured 30 Colorado Springs properties listed by Joe Clement’s ReMax Properties. Now Classic Homes and Sheldon Good & Co. have announced they are partnering on another auction May 23.

Last weekend’s auction generated about 25 sales out of more than 154 Front Range homes offered including 33 in Colorado Springs. Most of those, however, went under contract prior to the event.

Clement did his best to put a positive spin on things.

“The pre-event publicity certainly created a little buzz for a lot of the local homes that had just been sitting there,” he said, “and showings before the auction were way up.”

The upcoming Classic Homes auction will feature nine “upscale” single-family homes. The properties, including a 10,000-square-foot-plus Residence at Toscano and homes at the Village at Sonoma at Flying Horse, will be sold for minimum reserve prices ranging from $395,000 and $2.6 million.

Sheldon Good spokesman Rob Kelly said auctions are a “trend that is heading West.”

“I think part of the growth of real estate auctions is that they are not solely distress sales, which is the typical perception,” he said.

Some owners are using the bid approach to set prices.

“We had one developer host a condominium building grand opening by auction for the purpose of gauging the market and setting price points for its public release,” Kelly said.

Deals, deals, deals

Deal volume may be off from two or three years ago, but the local commercial brokerage community is making headway. Here’s a sampling of the latest lease and sale closings.

Distributor expands: Standard Sales Co., best known as the Colorado Springs’ Budweiser distributor, has purchased an industrial building at 4420 Mark Dabling Blvd. The 14,400-square-foot warehouse/distribution facility, acquired for $960,000, is adjacent to the company’s headquarters. Randy Churchill Dowis and Bob Garner of NAI Highland LLC represented both the buyer and the seller, Mardab LLC.

The facility was originally built for beer distribution by Western Beverage of Denver and has sold three times since 2002.

SuperFlow consolidates: SuperFlow Technologies Group has consolidated its three local operations into 12,195 square feet at 4747 Centennial Blvd. The company took over space formerly occupied by Maxim Integrated Services.

The engine dyno and dyno technology firm had been considering a move to a more efficient plant for several years. Ultimately, Dowis said, the process took about four years to complete “The property … required minimal tenant improvements necessary for their operation,” Dowis said, adding that occupancy is planned for May 2010.

Brokers Bennett Frank Tuck and Ryan S. Higgins, also of NAI Highland Commercial Group, represented SuperFlow.

Apartments sell to local investor: The 24-unit Vista Verde apartment community at 3620 Verde Drive has sold to a Monument investor group for $635,000, or $26,458 per unit.

While the 1970s vintage complex was priced to sell, the final per-unit cost was still higher than the $14,102 per unit price paid for the bank-owned 78-unit Cedar Crest Apartments, reported on these pages in February.

Apartment Realty Advisers brokers Ken Greene and Kevin McKenna represented the lender-seller, ECP Properties Inc.

Fennell Group wins award

A local architectural firm headed by Fennell Group owner and LEED AP architect Jim Fennell was just awarded its second Honor Award from the U.S. Air Force.

The award recognizes the group’s work on the 2009 Air Force Space Command Facilities Guide, which sets design standards followed by Air Force bases worldwide.

The firm will be officially recognized at a ceremony honoring award recipients in Washington, D.C. on July 29, 2010.

Becky Hurley can be reached at 719-329-5235 or becky.hurley@csbj.com.