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Case Studies / Lakewood Portfolio
sold
Lakewood Portfolio
Contamination discovered during due diligence process
- Navigated unforeseen contamination issue in part of four property portfolio
- $158K / Unit for heavy value-add properties
Executive Summary
Challenge
Our team was approached by the Seller to sell their four-property portfolio in Lakewood. After thorough research and analysis, we identified Sage Homes NW as the best potential buyer and secured an off-market contract with them. However, during the due diligence process, our Buyer discovered contamination at one of the properties, making it un-financeable.
What we did
Despite encountering several challenges throughout the deal process, our team was committed to keeping the communication lines open between the Buyer and Seller to maintain momentum. To facilitate this, we arranged direct Zoom calls between both parties, which proved highly effective.
Our team successfully brought the Buyer back to the table after discovering the contamination and renegotiated the Purchase and Sale Agreements (PSAs) for just the three uncontaminated properties. After both parties agreed on the pricing, we moved forward with the closing process for the three properties, ultimately resulting in a successful sale for our Seller.
The Result
Our ability to adapt to unforeseen challenges and maintain transparent communication between both parties was instrumental in overcoming the contamination obstacle and closing the sale of the three properties in a treacheroud lending market. Our client was highly satisfied with our services, and we are proud to have helped them achieve their desired outcome.