REITbid Brings Liquidity to Illiquid Investments [Press Release]

New Online Auction Platform Gives Non-Traded REIT Shareholders and Investors Simple, Secure and Transparent Way to Buy and Sell Shares

NEWPORT BEACH, Calif., Feb. 4, 2013 – REITbid today announced a new online auction platform that matches buyers and sellers of shares in existing non-traded public real estate investment trusts (REITs). This new program is powered by an advanced and proven online auction technology (FRE.com) that is secure, easy to use, transparent and designed to create liquidity in what are typically considered illiquid assets.

Non-traded REITs have issued nearly $80 billion of equity during the past ten years to more than 2 million shareholders1, a number that is projected to rise over the next few years. As the volume of investors increases, so does the demand for shareholders who need to liquidate their shares. With approximately 2/3 of today’s top closed non-traded REITs unable to meet the liquidity demands of their shareholders2, those seeking liquidity often turn to low-ball mini-tender offers from predatory investment firms. The Securities and Exchange Commission warns “mini-tender offers have been increasingly used to catch investors off guard” when it comes to determining the value of their shares.

The REITbid platform was founded by a team of senior real estate executives led by William Lange and financed by Ray Wirta. Lange has more than 35 years experience in real estate auction marketing and is chairman of the LFC Group of Companies, a pioneer in online auction solutions. Wirta has more than 40 years experience in commercial real estate and is the former chief executive officer and a current director of CB Richard Ellis (NYSE:CBG). The team made the decision to create REITbid based on industry-wide demand for a viable solution for achieving fairly priced liquidity in non-traded REIT shares.

“Shares of existing non-traded REITs may provide attractive investment opportunities that focus on current dividend yield and appreciation potential,” said William Lange, REITbid principal. “However, a drawback to investing in non-traded REITs has been a lack of liquidity. REITbid not only helps to resolve this issue with an easy-to-use online auction process, it helps existing shareholders achieve fair market pricing based on the anticipated high volume of buyers and sellers who will participate in the auctions.”

REITbid Advantages

In addition to offering a liquidity option and streamlining the entire process of buying, selling and transferring shares, REITbid provides several other unique advantages including:

  • User-friendly platform that is easy enough for virtually any qualified investor to use
  • Transparency – provides instant access to non-traded REIT metrics and links to SEC filings and sponsor data; users can also view all pending bid activity on each auction
  • Convenience – ability to bid on and find documentation about available non-traded REITs 24 hours per day
  • Security – strict multi-layer protection of all documents and personal data

“REITbid is engineered to become the industry’s most advanced and comprehensive solution for trading shares of existing non-traded public REITs,” adds Lange. “It provides transparency for buyers and sellers, giving them an efficient method for valuing shares based on a REIT’s net asset value (NAV) and other key metrics.”

About REITbid

REITbid is owned by Share Trading Associates, LLC of Newport Beach, Calif. Share Trading Associates is comprised of a team of real estate and auction professionals with extensive real estate investment experience. REITbid auctions are operated under a license agreement by JRL Capital Corporation, a FINRA-registered Broker-Dealer since 1981. For more information, visit www.REITbid.com.

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1 Blue Vault Partners, NAREIT

2SEC filings data as of June 30, 2012. Based on closed non-traded REITs ranked by total assets.

Bank-Owned Sites with Preliminary Plat near Olympia, WA

Online Auction for Residential Development Land
near Olympia, Washington

±11 acres w/ preliminary plat map for 78 townhomes & 5 detached units

±60 acre parcel w/ preliminary plat map for 64 townhomes & 49 detached units

Existing ±2,200 S SFR & ±6,750 SF workshop on site

Minimum Bids as low as $99,000

All bids must be submitted by February 15th

Visit website for more property and auction details;

01

02 2013

Bank-Ordered Auction for Senior Living Apartments

Bank-Ordered Online Auction
±32,000 SF Senior Living Apartments in Two Rivers, WI

$199,000 Minimum Bid

*Broker Participation Offered*
All bids must be submitted by March 21st at 5pm
Visit website for more property and auction details;
FRE.com/151L1

Condo Auction at the Base of Brian Head Resort

Online Auction for a 2 Bed / 1 Bath Condo
in the Ridges at Chalet Village of Brian Head, Utah

Property Features Include:
– View of Brian Head Peak and ski slopes from front door
–  Recently painted and recarpeted
– Shares 2 car garage
– Access to community amenities: pool, jacuzzi, & club house
– Sold fully furnished & sleeps 8

Minimum Bid: $39,000

All bids must be submitted by February 7th
Visit website for more property and auction details;
FRE.com/148L1

 

25

01 2013

Bank Ordered Auction for Baton Rouge Property

Online Auction
Bank-Owned Properties in the Baton Rouge, LA Area

Single Family Homes / Office Complex / Lots / Fast Food Location
*Broker Participation Offered*
All bids must be submitted by December 6th at 5pm
Visit website for more property and auction details;
www.FRE.com/146L1

09

11 2012

Bank-Ordered Auction of Kansas City Properties

Development Land & Finished Lots

Lots on The National Golf Club | Development Sites | Multifamily Sites

Commercial Properties

Leased Retail Center | Industrial Warehouse | Former Car Dealership

Minimum Bids as low as $10,000

*Broker Participation Offered*

All bids must be submitted by November 1st at 5pm
Visit website for more property and auction details www.FRE.com/140L1

Online Auction Newsflash

Online Auction for a Stunning Estate Home in Duluth, MN

This auction is for a beautiful 5-bedroom, 4.5-bathroom historic brick estate home in Duluth, MN, which was originally built by lumber baron Edwin Bradley in 1905. The property, totally redone from top to bottom, consists of approximately 6,540 (finished) SF and is situated on a large lot of approximately 12,200 SF. This magnificent estate home has three distinct living levels as well as a fully finished basement that is currently being used as a family/entertainment room complete with fireplace, exercise room, sauna, 3/4 bath, and wine cellar.

The bid deadline is set for May 10th and you can view the full list of downloadable property documents, property photos, and auction information at FRE.com.

With the suggested value of the property at $1,200,000 and the minimum bid starting at just $599,00, this property is sure to get sold so you better hurry!

Bank-Orderd Auction for a Loft-Style Condo in Akron

Portfolio of Atlanta Investment Properties Up for Online Auction

One of the most active real estate professionals enrolled in the Never Lose a Listing program on Freedom Realty Exchange  has just brought a portfolio of bank-owned residential properties and development land out to online auction. The portfolio features three residential properties and two parcels of development land.

The residential properties range from having 3 bedrooms with 1 bathroom to a floor plan with 4 bedrooms and 2 bathrooms; all of which are located in Atlanta. Property sizes range from +/-1,000, +/-1,500, to +/-1,540 square feet while the development land in Atlanta and Lilburn are +/-2.2 acres and +/-1.1 acres.

As with all of the online auctions on FRE.com, each property has it’s own unique webpage full of all of the property’s details, photos, auction documents and any other available property documents such as disclosures, plat maps, etc. are posted for interested buyers to do their due diligence. More importantly, all of the bidding happens directly on the auction webpage itself. Minimum bids start as low as $9,000, but the clock is ticking. The bid deadline for these auctions is coming up on January 19th if you’re looking to pick up some assets at a deeply discounted price.

You can see all of these Georgia properties by going to FRE.com.