Velocity Auction Comes to a Stop (Hoboken)

[garyg]

I went over to this place and its right next to the projects, which gives is slightly terrifying.  Those places are not pleasant, or easy on the eyes.  I didn't think that the materials on the insides of the units were that bad.  However the facade was all prefab and very junky.  The units that were up for auction were also not the best units.  Even upon completion of the entire auction they were only going to have max of 50% filled.  Thus another 70 units were going to be sold via "traditional" means.  As far as a mortgage, they had a company on site, and provided you with much of the information necessary to use an outside company.  So I don't think that it was impossible, just a few more hoops to jump through.  I don't think 502k seems overpriced at all.  Everything in Hoboken that is that size goes for substantially more, and these were large spaces.  Any discount on them was due to the proximity to the Projects.  Finally I think that this venture is doomed for the builder, I cannot imagine people paying that much money to live next to the worst block in Hoboken.

[glx]

I don't even understand how anyone other than a cash buyer could do that.

How the hell do you explain that to a mortgage company?

[jc_insomniac]

Someone paid $502K for a 2-BR? Even $250k for a 2-BR would've been too much.

We checked out the units at Velocity a couple of weeks ago. It's right next to the projects, the materials used were cheap, and the wallpaper in the hallways were damn fugly.

From the Jersey Journal (hyperlink lost in copy / paste replaced below; headline edited to add "Hoboken" clarification):

http://www.velocityhoboken.com/

[glx]

AKA, that 2 bedroom sold for WAY too cheap.

[bdlaw]

From the Jersey Journal (hyperlink lost in copy / paste replaced below; headline edited to add "Hoboken" clarification):

http://www.velocityhoboken.com/

Velocity auction comes to a stop
A much-hyped auction of 40 condo units in Hoboken came to an abrupt halt yesterday when the developer stopped the proceedings after selling just eight units.

A spokesman for Velocity said eight units were sold for a total of $3.6 million. The cheapest unit, a one-bedroom, sold for $369,000; the most expensive, a two-bedroom, sold for $502,000, the spokesman said.

The spokesman said the company halted the auction because the owner decided to sell the units through conventional sales rather than by auction.

About 250 people attended the auction, the spokesman said.

A local developer who didn't want his name to be used said the auction was doomed from the start.

"This is not artwork or eBay. People need to have time to make such an important decision."

Jarrett Renshaw

• Tweet