How it Works
How We Dominate the Auction Process
Investor Enrollment
- Prospective investors or organizations complete the necessary formalities to become valued partners of Evergreen Holdings.
- Investors contribute capital, which is strategically pooled to fund high-value property acquisitions, driving long-term growth and returns.
Funding
Secure 25% funding of the target asset value as upfront capital, ensuring readiness for competitive bidding and immediate deposits.
Locate Distressed Assets and Auctions
Leverage proprietary tools, market analytics, and networks to identify:
- Distressed commercial assets.
- Upcoming public and private auctions with high-value opportunities.
Targeting Below Market Value
Focus exclusively on assets priced 20% below market value or greater, ensuring built-in equity and significant upside potential.
Bidding and Winning
- Deploy expert bidding strategies to
secure prime assets while maintaining
cost efficiency. - Leverage Gideon Gratsiani's auction expertise for maximum success.
Deposit on Winning Assets
Place immediate deposits to lock in acquisitions, showcasing financial preparedness and credibility in the auction process.
Financing
Secure financing for the remaining balance through:
- Institutional partnerships
- Private investors
- Bridge loans
Ensure terms are optimized for long-term profitability.
Closing
Complete the transaction efficiently, with legal and operational due diligence to ensure a seamless acquisition process.
Value-Added and Rebranding
Execute a value-add strategy, including:
- Renovations and modernization to enhance property appeal.
- Rebranding to reposition the asset for higher market demand and premium rental income.
Exit Strategy
Monetize the asset through:
Refinancing: Retain high-performing properties to generate sustainable income.
Sale: Exit at an optimal market price, capitalizing on enhanced asset value.
Advantages of Acquiring REO Through Public Auctions
Opportunity for High-Value Assets at Reduced Costs
Commercial properties in auctions are often sold below market value, providing an opportunity to acquire prime assets at significant discounts.
Value-Add Opportunities
Investors can enhance the value of auctioned commercial properties through renovations, rebranding, or repositioning, increasing rental income or resale potential.
Access to Distressed or Underperforming Assets
Auctions often include distressed commercial properties (e.g., office buildings, retail centers, warehouses) with potential for value-add investments.
Opportunities to Expand Market Reach
Public auctions often list commercial properties across various regions, enabling investors to enter new markets or expand their geographic footprint.
Diversification of Investment Portfolio
Auctions offer access to a variety of commercial asset types, allowing investors to diversify across sectors such as industrial, retail, multifamily, or mixed-use.
Motivated Sellers
Many auctioned commercial properties are sold by lenders, government agencies, or entities under pressure to divest quickly, increasing the chances of favorable deals.
Strategic Location Opportunities
Many auctioned commercial properties are in sought-after locations, providing a chance to enter high-demand markets at competitive prices.
Fewer Middlemen
The auction process often eliminates intermediaries like brokers, reducing fees and streamlining negotiations.
Potential for Rapid Cash Flow Generation
Commercial properties purchased at auction can quickly become income-producing assets through leasing or redevelopment, yielding faster returns on investment.
Potential for Tax Benefits
Acquiring distressed or foreclosed commercial properties at auction may come with tax advantages or incentives for redevelopment, particularly in opportunity zones.
Streamlined Acquisition Process
The auction process is often faster than traditional transactions, reducing the time and complexity typically involved in acquiring commercial real estate.
Immediate Investment Opportunity
Unlike lengthy private transactions, auction sales often result in a swift transfer of ownership, allowing investors to act on their plans promptly.
Less Competition for Specialized Assets
Auctions can attract fewer bidders for niche commercial properties, providing opportunities for knowledgeable investors to secure assets with limited competition.