TWO AUCTIONS SET FOR OC CONDOS

Competing auctions will be held later this month for units in two bayside condominium buildings on 10th Street — Bahia Vista I, below, and Bahia Vista II, above — because of a fractured partnership. SUBMITTED PHOTOS (Feb. 19, 2010) Competing auctions will be held later this month for units in a bayside condominium because of a fractured partnership.

“I’ve never seen anything like this,” said Spiro Buas, one of the developers of the Bahia Vista condominium on 10th Street.

The collapse of the real estate partnership led to the competing auctions for the bayfront and bayview condominiums and created an opportunity to get a bargain. The lower prices at auction make the condos affordable to people who otherwise would not be likely to own a unit at the beach.

“It will be a win-win for buyers,” said Buas, whose 11 units in Bahia Vista I and Bahia Vista II are up for auction. “It’s probably the best thing for everybody.”

Buas retained ownership of the 11 units after the dissolution of the partnership, which had grown contentious.

Both auctions will be held at 1 p.m. on Saturday, Feb. 27. One auction will be held at the Grand Hotel in Ocean City; the other will be held at Loews Annapolis Hotel in Annapolis.

Marshall Auctions will conduct the Ocean City event and will hold an auction of Buas’ 11 luxury units and available boat slips. Buas decided to auction off his unsold units after his former partners started marketing an auction in Annapolis for Bahia Vista units.

Buas was the landowner of the 10th Street property when he was approached about developing it. A partnership was formed in 2004 and the Bahia Vista was built in 2006. Bahia Vista I has 40 waterfront units and Bahia Vista II has 20 bayview units.

Buas said Monday there was “a difference in philosophy” and the condo units just did not sell at the pace they should have sold, so he was happy the partnership split.

To make the auction of his unsold units more attractive to prospective buyers, Buas’ team decided to offer auction terms that would please prospective buyers. There will be no minimum prices on at least four condominiums, some of which had listed for more than $800,000. There will be no buyer premium and the deposit amount was reduced to $10,000. Buas will pay broker participation of 2.5 percent and will guarantee financing.

Max Spann Real Estate & Auction Company will conduct the competing auction for nine condominiums owned by Ocean Mist LLC in the Bahia Vista I. Opening bids start at $95,000 for the condos that had been listed for as much as $730,000, according to www. easternshorehousing.com.

The Spann auction is scheduled for 1 p.m. on Feb. 27, at Loews Annapolis Hotel in Annapolis.

“We’ve held auctions for about seven major developers the past two years,” Spann said Monday. “A lot of buyers buy properties for weekend use and Annapolis is closer to their home.”

Most bidders, Spann said, would be from the Northern Virginia area.

The Bahia Vista condos to be auctioned off have private balconies, designer kitchen cabinets, stainless steel appliances, Corian countertops, a washer and dryer and a gas fireplace. The Annapolis auction will offer three-bedroom units. The Ocean City auction will offer three- and four-bedroom units, including three models.

The public may tour the 11 available units to be sold by Marshall Auctions at open houses Saturday, Feb. 19, and Sunday, Feb. 20, from noon until 2 p.m. They may also tour the nine units to be sold by Max Spann on Saturday, Feb. 19, from noon to 2 p.m.

“It’s very interesting. We have our arrows pointing to our units and they have arrows pointing to their units,” Buas said.

Approximately 200 people toured units this past weekend. They were going to units to be auctioned off by each auction house, Buas said.

An evening preview of Buas’ units is scheduled for 4- 6 p.m. on Friday, Feb. 26, at the Bahia Vista.