Greensboro, NC - Tuesday afternoon, Cascades Grandview Apartments were put on the auction block.
A judge ordered that the complex be auctioned after the Cascades Grandview apartment tower defaulted on a $7.2 million loan.
However, the turnout was less than stellar and when all was said and done, the bank retained ownership. The minimum bid was $5 million dollars.
Now, the property will go into a silent bidding process. This will allow anyone the opportunity to bid on the apartment complex in writing until the lend takes full ownership within the next 10 days.
But they will have to increase the current bid by 5% or $250,000 more on the minimum bid of $5,000,000.
The market for rental property is stronger and there appears to be a growing demand in the downtown area. There might be a potential to do something very positive with the apartment complex.
As for the tenants, The Foreclosure Act of 2009 requires that the person who acquires a rental home through foreclosure give the tenant at least 90 days notification that the property has changed hands.
In cases where tenants have a valid lease, the new owner must honor the agreement until the end of the lease term.
The city says, no matter who owns the building after the auction, the water $74,000 must be paid. You first learned about the issues at this apartment on WFMY News 2, after the air conditioning went out in July.
WFMY News 2.