The Partnership Ended but the Friendship Endures

Selling the building was a business decision. Keeping their friendship was the reward.

Why RWPS Was Called In

The owners of the fully leased, 13,000 square foot Ronkonkoma Business Center were ready to turn the page.

After decades of ownership, the three partners — now mostly retired in Florida — had reached a point where preserving wealth and simplifying life became the priority. As importantly, although the building was performing well, none of them wanted to leave behind an unexpected burden for their spouses or partners. They called RWPS to help manage a trouble-free and well-timed exit.

How We Helped

At first glance, the Ronkonkoma Business Center seemed like a tough row to hoe: selling an office asset in the wake of Covid was not high priority on a lender’s list of places to deploy capital. It was fully occupied, well-maintained, and built to capacity so there was no obvious upside narrative.

We knew how to look deeper. We knew we could find an angle.

Drawing on our development and planning experience, we identified a way to increase the leasable area within the existing footprint — unlocking substantial value with minimal capital investment. Armed with our value-add proposition, our plans, our financial modeling and our optimism, we brought the property to market. Models and angles notwithstanding, the feedback was clear — and not encouraging. Let’s just say that the appetite for a post-Covid Class-B office asset did not validate our optimism.

Understanding their priorities, we recommended to the partners that we would find their buyer on the Ten-X property auction platform, as it would provide us with the broadest possible exposure, a swift turnaround, and — the most important consideration for our three friends — a date-certain close with no contingencies.

The Outcome

While there were myriad participants, reports and logistics to coordinate, it was worth the added effort. After a monthlong run up to the final auction day, there was an intense bidding war broke out in— literally—the last moments. The process ran like a Swiss watch; and most importantly, the partners got their price and the deal closed quickly. No loose ends, no second-guessing, nothing left on the table.

For us at RWPS, it was truly gratifying knowing that we were able to help three long-time colleagues create peace of mind for their families — and to have more time sharing their friendship instead of managing their partnership.

Selling the building was a business decision. Keeping their friendship was the reward.

Understanding where you are on your own journey, and helping you move forward with clarity and confidence, is what we do.