Century 21 Gladstone

My PM asked me to let you know that C21 declared bankruptcy on Friday, without having sold their rent roll. She has been contacted by tenants wanting to know how to pay their rent. If there are any affected landlords she can help you. Pls let me know if you require further details.

 

Angel thay is dreadful news...particularly for our fellow investors who purchased at the height of the boom at top prices with rents subsequently plummeting....thank you for the heads up re: Century 21 ...will pass on the message

 

Is this likely to affect other Century21 offices in QLD?

 

Only if they are owned by the same franchisee

 

Thanks for the reply.


Hope things go alright for the affected landlords and tenants up there

 

question: whats the main cause of bankruptcy for PM agencies?

is it falling rents? too much competition? too many headaches for PMs thus too little properties per manager?

 

Apparently some LL's were informed but most weren't. Very disappointing for the brand.

 

I think you may well find all the above,and there are so many vacant ,and some of those properties are selling below build costs,from what i'm told from investors in that area..imho..

 

Interesting.... do we see lots of agencies fall in a recession or down turn in the real estate market or is just the towns that go through collapses of the local market ....i wonder

 

Might be just the state of the market in that small area,i know a nth coast builder went up there 4 years ago was building 4 houses at a time,then went into big problems about a year ago,went trough that area last week,and there are so many for rent sale,that's the only problem when the ceiling is hit in prices,they can fall very quickly within six months..imho..

 

What parallel dimension is this???

 

I imagine the property managers will walk straight into a new job given they're probably bringing a rent roll with them.

 

[QUOTE="Biz, post: 84897, member: 15 "What parallel dimension is this???[/QUOTE]


Well that was the message she sent me. I would think she is looking to get their properties onto her rent roll.

 

Mining town properties are not long term buy and hold assets.

Those who rushed in and bought high and now lost out and those who held on too long out of greed, I don't feel too much compassion.

 

Usually debt will be one of the causes realestate failures.

However rent rolls are quite valuable, and sometimes final price will be determined by retention rates by the PM, with PM picking up a nice bonus if the retention targets are met.