highest bid does not get the sale

[mkathyf]

Ohio.
My husband recently spent 3-4 months trying to purchase a large commercial real estate property. The property was not officially listed on the market, but the 7 beneficiary children of the deceased owner, had been working with a realtor, at one time.
This realtor knows of my husband and contacted him. The negotiations began.
So, there is a realtor and then there is an attorney, who is representing the beneficiaries and the property. After 4 months of back and forth with my husband and one other buyer, it became apparent that the attorney was not being honest about the bids being offered.
Finally, a best and final was asked and my husband gave his bid, only to find out that he lost the sale to the other person. Now, 2 months later, we finally found out that the person who purchased the property paid $65,000 LESS than what my husband bid.
Is this typical? Or is this unethical? Or, illegal?
I should mention that the attorney knows the buyer from business circles.

The realtor told my husband that even he did not know what the property sold for until he arrived at the closing.....that is how secretive the attorney was being.

Now, I don't know this as fact, but the realtor told us that the attorney told him that he sold it to the other person because he had already given him permission to do roof repairs on the buildings....so, he felt he better give it to him.

I welcome your thoughts and opinions. My husband is very upset because he really wanted that property!

 

[Just Blue]

Ohio.
My husband recently spent 3-4 months trying to purchase a large commercial real estate property. The property was not officially listed on the market, but the 7 beneficiary children of the deceased owner, had been working with a realtor, at one time.
This realtor knows of my husband and contacted him. The negotiations began.
So, there is a realtor and then there is an attorney, who is representing the beneficiaries and the property. After 4 months of back and forth with my husband and one other buyer, it became apparent that the attorney was not being honest about the bids being offered.
Finally, a best and final was asked and my husband gave his bid, only to find out that he lost the sale to the other person. Now, 2 months later, we finally found out that the person who purchased the property paid $65,000 LESS than what my husband bid.
Is this typical? Or is this unethical? Or, illegal?
I should mention that the attorney knows the buyer from business circles.

The realtor told my husband that even he did not know what the property sold for until he arrived at the closing.....that is how secretive the attorney was being.

Now, I don't know this as fact, but the realtor told us that the attorney told him that he sold it to the other person because he had already given him permission to do roof repairs on the buildings....so, he felt he better give it to him.

I welcome your thoughts and opinions. My husband is very upset because he really wanted that property!

I'm sure if your husband was so upset he would post for himself....Likely he is disappointed. Such is life.

 

[adjusterjack]

My husband is very upset because he really wanted that property!

He got snookered. There is nothing he can do about it. He needs to get over it and move on.

 

[mkathyf]

I'm sure if your husband was so upset he would post for himself....Likely he is disappointed. Such is life.

I posted because I am curious about the situation; he will deal with this in his own way. I don't think he has ever posted on a forum.

I was just seeking some expert opinions. It seems to me that the attorney not only "snookered" (as one poster worded it) my husband, but also did a horrible job representing his clients (the beneficiaries). After all, I believe his entire point of working everyone to get the bids higher, was so that the beneficiaries could realize as much as possible for the sale. We are talking our bid of 1.15 mil, to the selling bid of 923K.

 

[Zigner]

I posted because I am curious about the situation; he will deal with this in his own way. I don't think he has ever posted on a forum.

I was just seeking some expert opinions. It seems to me that the attorney not only "snookered" (as one poster worded it) my husband, but also did a horrible job representing his clients (the beneficiaries). After all, I believe his entire point of working everyone to get the bids higher, was so that the beneficiaries could realize as much as possible for the sale. We are talking our bid of 1.15 mil, to the selling bid of 923K.

Maybe they just didn't want to sell to your husband.

 

[not2cleverRed]

I posted because I am curious about the situation; he will deal with this in his own way. I don't think he has ever posted on a forum.

I was just seeking some expert opinions. It seems to me that the attorney not only "snookered" (as one poster worded it) my husband, but also did a horrible job representing his clients (the beneficiaries). After all, I believe his entire point of working everyone to get the bids higher, was so that the beneficiaries could realize as much as possible for the sale. We are talking our bid of 1.15 mil, to the selling bid of 923K.

How do you know that the beneficiaries were unaware of the difference in the bids?

How do you know what the beneficiaries wanted? Perhaps the property has sentimental value and the beneficiaries wanted it kept a certain way - and were suspicious of your husband's motives, believing he would make changes they wouldn't like. Perhaps you and your husband were less likable and they just viewed you as an outsider.

 

[STEPHAN]

I have often gotten property by not giving the highest bid, but by the terms. Like paying cash, no inspection needed, being able to close in a few days etc.