UpClose – Carlton’s Howard Michaels
June 4, 2010
April 27, 2010 | Paul Bubny
(GlobeSt.com) One of the most active sellers in the distressed assets arena, Carlton Advisory Services, believes embracing the available technology is key to success in a high-volume market. The New York City-based company last year launched its Carlton Exchange online auction platform for whole-loan and REO sales, and has now followed that up with CEX Mobile. In development for the past year and reportedly an industry first, the mobile platform allows access to due diligence—and bidding—via handheld devices. Carlton chairman Howard Michaels recently spoke with GlobeSt.com about CEX Mobile’s launch earlier this month.
GlobeSt.com: Tell us about the impetus behind CEX Mobile.
Michaels: We’re selling about $2 billion of loans and REO assets through Carlton Exchange right now. We created the exchange to make things easier for bidders. People can bid in real time; all of the due diligence information is loaded onto the site.
And one of the things that we’re finding is that today everybody is extremely busy, running around and suffering from information overload. So we see that more people need access to the information and the ability to bid directly from their smartphone. Everybody has a BlackBerry or an iPhone or an iPad or a Droid, and with our technology, people can bid from their handhelds.
GlobeSt.com: Without a device like this, what disadvantage would buyers be at?
Michaels: They can already access all of this information from their desktop or laptop. That’s sort of the industry standard. But now, in addition, if it’s a Friday and they’re on the golf course and they need to place a bid, they can bid right from the clubhouse. It just makes the process that much easier. And in our experience, the easier it is for people—the more transparent the information and the better the access—the more comfortable they are in bidding.
GlobeSt.com:Does this also give sellers an advantage because of the quicker access buyers have?
Michaels: One hundred percent. If it’s more difficult for the bidder, and he has to factor in those unknowns, that usually results in a lower price. Our job is to provide the bidder with as much information as possible.
GlobeSt.com: The timing on introducing CES Mobile seems especially apt because soon we’ll be seeing more assets go up on the auction market.
Michaels: I think we’re seeing that already.
