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20 Jun, 2018

Former Valvoline headquarters building in foreclosure. Auction scheduled for Tuesday.

20 Jun, 2018 - Tranzon Asset Advisors

Originally published in the Lexington Herald-Leader
By Beth Musgrave
 
The former world headquarters of Valvoline in Lexington will be sold at a foreclosure auction on Tuesday, June 26.
 
The owner, Bluegrass Building Partners, could not make its mortgage payments after Valvoline, which was leasing the property, opened a new $35 million headquarters in May 2017, according to court documents.
 
The 19-acre campus includes two buildings that total more than 350,000 square feet. The former Valvoline administration building at 3499 Blazer Parkway has more than 259,000 square feet and has been appraised at $11.5 million. The second building, at 3475 Blazer Parkway, has more than 117,000 square feet and was formerly Valvoline's data center. It has been appraised at $5.2 million, according to the court records.
 
The amount owed for both buildings is more than $35.8 million.
 
The two foreclosed buildings are connected by underground pedestrian and utility tunnels.
 
The campus — which is between Blazer Parkway and Palumbo Drive — is one of the largest commercial properties to be sold at auction in Lexington in recent years, said Fayette Circuit Court Master Commissioner James Frazier III.
 
"We have received a lot of interest from all over the country," Frazier said.
 
Tranzon Asset Advisors has been employed by the court to market the property and conduct the live auction under the supervision of Frazier.
 
Tranzon, which is based in Elizabethtown, has pushed the versatility of the campus in its marketing campaign.
 
“As a whole, the campus has exceptional landscaping, walkways and even a couple of ponds. Because the two buildings formerly had a single occupant, the shared amenities and utilities lend themselves naturally to a single owner. But It would certainly be feasible to have separate owners for the two buildings, and bidders will have that option,” said Tranzon’s Ed Durnil.
 
The auction will take place at noon Tuesday in the foyer of 3499 Blazer Parkway. Master commissioner sales for foreclosed property typically take place at the courthouse, but Frazier said they decided to hold the auction at the former Valvoline's administrative building because of the interest in the property.
 
The buildings will be bid on separately, then offered together. The highest bid — either the buildings separately or together — will win, Frazier said.