It feels like it was just weeks ago that Joe and I took a ride down to McKinley Park to take some photographs of McKinley Park Lofts at 2323 W Pershing Rd. We generally liked what we saw, but it appears that the folks at The Habitat Company haven’t been as pleased with what they’re seeing in the market. This afternoon, New Homes‘ distribution team came back from McKinley Park with news that 34 units in the building are up for auction.
Indeed, the McKinley Park Lofts Web site redirects to the site for auctioneer Rick Levin & Associates, so I gave Levin a call to get the skinny on the auction and his business. He says the developer is auctioning off the lofts to get them off its books and move on, and he expects to see many other developers do the same – especially in the South Loop, he says.
“Most developments don’t have enough sales right now, so creating an urgency for people to buy may be a very prudent business decision on the part of developers,” Levin says. “Consumers are worried about what things are worth, and an auction is an excellent way for buyers and sellers to demonstrate what a given project is worth.”
In the case of the McKinley Park Lofts, Levin’s Web site lists $85,000 as a suggested opening bid for homes that were previously priced as high as the $370s. Levin says at least 12 of the 34 units will be made available for absolute sale, meaning that they will be sold regardless of price.
An ad Levin sent us lists features like granite countertops, wood floors and maple cabinetry, so it seems likely that some of the homes will be finished out by auction day. To learn the exact state of the lofts, buyers can attend open houses from 11 a.m. to 1 p.m. on Nov. 23rd, Nov. 30th and Dec. 7th. The auction will be held at Hyatt Regency at McCormick Place on Dec. 9th.