BOSE Corporation is a privately-held American corporation based in Framingham, MA. They design, develop, and sell high-quality audio equipment. Founded in 1964 by Amar Bose, their products are known and highly sought-after throughout the world.
Erich Struzyk of IPG was contracted to find investors, developers, and a buyer to purchase their former manufacturing and distribution center in Nordhorn, Germany.
IPG Services Provided
Market Overview With The Input of Each Municipality, Local Brokers, and Owners
Creative Marketability Strategy
Negotiate With Local Authorities to Change Zoning
Negotiate With Three Potential Buyers to Achieve Optimum Results
Clear The Land Of All Encumbrances, Sub-Leased Installations, And Encroachments
Erich was tasked with selling Bose’s former manufacturing and distribution center warehouse.
Now abandoned, the building was located in a small residential city that had no market for this type of real estate.
The Challenges
1
Motivating the city of Nordhorn to change the zoning laws and land use in the area
2
The need to find investors who believed in the location
3
Convincing that the financing of such a unique project would benefit the city
Erich was not the first advisor that Bose approached. Reputable companies that included Cushman & Wakefield, Colliers, and Jones Lang La Salle conveyed to the company that their property had no marketability whatsoever. We moved forward with the project, realizing it would be an uphill battle, but confident we were up to the task.
To make the property more attractive to potential buyers, we first had to motivate the city of Nordhorn to change the zoning laws and land use in the area. We then needed to find investors who believed in the location and its marketability as a senior assisted living residential development.
We negotiated with Deutsche Telekom to remove their aging TV and cell phone tower from the property, for which they had a lease until 2030. We also had to convince the state-owned Savings & Loan (Sparkasse) that the financing of such a unique project would benefit the city of Nordhorn.
Once all the pieces fell into place, BOSE was delighted with the results as they reaped the benefits of unexpected sales revenue for a building that they had already written off.
The Success
1
500,000 square foot parcel of land with an abandoned building sold
2
Investment Value: €2.2 Million
3
Current Value: €5.4 Million
Erich successfully turned a challenging situation into a cash-positive initiative for the client and furthered a forward-thinking development solution for the city of Nordhorn.
500,000 square foot parcel of land with an abandoned building sold
