Bank Branches Go Dark, Then Go to Auction
It seems like it was just yesterday when bank branches were opening up locations on every corner for the convenience of their customers. Now with all of the mergers and unrest going on in the banking world, bank branches seem to be closing on every corner. These locations usually offer excellent opportunities for investors for conversion into retail sites.
With the amount of inventory coming onto the market it’s no surprise that financial institutions are turning to auctions to quickly and efficiently get these properties sold. One of the larger sales we’ve seen this year comes out of John Dixon and Associates out of Georgia. They are auctioning off 23 bank branches over several states on behalf of a national REIT (real estate investment trust). The auctions take place at the end of the month over a 7 day period.
We expect to continue to see this sector increase in inventory and therefore more auctions to happen over the next 12-24 months as financial institutions continue to consolidate and or go dark completely.