The owners of the bankrupt Bamboo nightclub in Seaside Heights will not accept a $1.2 million offer proffered at an auction last week, saying the bidding process was flawed.
Linda Saady, co-owner of Bamboo, as well as sister nightclub Karma, which received no offers at the auction held June 24, said the auctioneer was not authorized to accept bids below a pre-determined $1.5 million reserve price. Initially, in March, the reserve price was $1.2 million. On the day of the auction, the auctioneer called for the minimum bid and did not receive any offers. He then asked for a $1.2 million bid, which Monmouth County developer Robert Veloso accepted. Saady, however, she did not authorize the lower offer.
“The auctioneer did not have permission to go below $1.5 million,” said Saady. “Long story short, nothing was sold.”
Saady said the family will accept neither the $1.2 million offer Bamboo nor the amounts bid on several adjacent properties. Veloso also sought to purchase two smaller, neighboring plots for $175,000 and $75,000, respectively, which are zoned for residential use.
The future of what will become of Bamboo, the nearby properties, as well as Karma – which received no offers at either price – is unclear. The Saady family is considering numerous options.
“Now it’s going to have to be on a personal level as opposed to another auction,” said Saady. “Everything is still available. The properties they said were sold, were not sold.”
Attorney Vincent Verdiramo, Jr., who represents the family, did not rule out any method under which the properties will be offered for sale in the future.
“We’re evaluating all of our options and nothing has been sold to date,” he said.
Meanwhile, the properties still appear to be on the market as Saady Family LLC, which once owned the two nightclubs plus the former Merge property across the street, goes through the bankruptcy process.
“If someone wants to give me the minimum, I’ll take the minimum in a heartbeat,” said Saady. “They can contact the bank or the auction house or my attorney.”