Home Back Issues January 2010 Eugene real-estate company grabs new markets

Eugene real-estate company grabs new markets

| Print |  Email
Articles - January 2010
Thursday, December 17, 2009

Follow-up: May 2009 feature, "Big hairy deal"

Gorilla
John Helmick

Gorilla Capital, a Eugene-based buyer and seller of foreclosed homes, has expanded into Arizona, Idaho, southwest Washington and Florida as part of a broad strategy to become the dominant national player in distressed residential real estate.

“We wanted to prove that our business model works on a national level and we’re proving it,” says CEO John Helmick.

The national spike in foreclosures that has disrupted lives and devastated the economy represents a huge opportunity for Gorilla. The company grew from 10 employees to 25 in 2009, with the three most recent hires moving into Clark County, Wash., to capitalize on the glut of homes selling for fractions of their assessed values.

The fact that Helmick and Gorilla have sidestepped metropolitan Portland bodes well for the Portland residential real estate market. Gorilla has made its fortune by buying at fire sale prices and selling for 20% less than the competition. Prices have held up too well in Portland for the Gorilla formula to work, Helmick says. But it’s a very different story in Phoenix, Ariz.; suburban Boise, Idaho; and Daytona Beach, Fla., where Gorilla is offering a three-bedroom two blocks from the ocean for $59,900.

Helmick’s brother, Rob, who co-founded ecollege.com with him in the 1990s, is running Gorilla’s new office in Florida, the state with the second-most foreclosures, behind only California.

With millions of distressed properties weighing down home prices from coast to coast, the timing seems ideal for Gorilla’s plan to expand aggressively. Helmick says there is local competition in each of the markets Gorilla operates in, but no one else is replicating a consistent formula in multiple locations.

He intends to be first in that race. “Before there was a Wendy’s and a Burger King there was a McDonald’s,” he says. 

BEN JACKLET
 

Comments   

 
Distraught Consmer
0 #1 Want our money backDistraught Consmer 2010-07-08 02:47:37
My husband and I wanted to purchase our first home...we both work very hard in order to be able to live the America dream and become successful in this world. Well, we put in an offer on one of Gorilla Capital's listed properties in Deltona, FL and put down a $2000.00 deposit...GORIL LA CAPITAL did NOT OWN THE TITLE on the property at the time that they went into contract with us...and they pocketed our money!! How do you SELL something that YOU DON'T OWN? I WOULD NOT RECOMMEND GORILLA CAPITAL...I REALLY JUST WANT OUT MONEY BACK...FAIR & SQUARE!!!!
Quote | Report to administrator
 

More Articles

College Hacker

September 2014
Wednesday, August 27, 2014
BY KLINT FINLEY

Treehouse CEO Ryan Carson builds a 21st-century trade school.


Read more...

South Waterfront's revenge

News
Thursday, July 24, 2014
MoodyAveBY LINDA BAKER | OB EDITOR

Remember the naysayers?  Those who called the South Waterfront aerial tram a boondoggle?  Those who rejoiced at the massive sell off of luxury condos at the John Ross and Atwater Place?


Read more...

Managing family assets: The importance of planning ahead

News
Friday, August 22, 2014
Unknown-1BY CLIFF HOCKLEY |  OB GUEST CONTRIBUTOR

When business intersects with family, a host of  situations can arise. Without a clear vision and careful planning, hard-earned investments can become stressful burdens.


Read more...

Downtime

September 2014
Wednesday, August 27, 2014
BY JESSICA RIDGWAY

How State Representative Julie Parrish (House District 37) balances life between work and play.


Read more...

Is this employee right?

Contributed Blogs
Wednesday, August 13, 2014
081314 thumb employeefeelingsBY TOM COX | OB BLOGGER

When I say, “Your Employee is Always Right,” I do not mean “right about the facts,” but rather “right about how they feel” and “right about how they want to be led.”


Read more...

Gender Code

September 2014
Tuesday, August 26, 2014
BY COURTNEY SHERWOOD

Janice Levenhagen-Seeley reprograms tech.


Read more...

Back to School

September 2014
Wednesday, August 27, 2014
BY LEE VAN DER VOO

By now we’ve all read the headlines: Starbucks is giving away free degrees. Except it isn’t.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS