Newly formed ownership group Salem Pointe Capital has closed on the sale of properties at Rarity Bay in Vonore, acquiring all of the development’s assets for $5.75 million.
The property closure occurred earlier this month, and includes 11 condominiums, 172 lots, 27 undeveloped acres and the golf course and clubhouse. The development has 500 homeowners and 500 property owners.
“Rarity Bay is a unique community that combines waterfront living with mountain views and a strong, supportive base of homeowners,” Michael Ayres, a leading partner of Salem Pointe Capital and an associate of Cushman & Wakefield-Cornerstone, said in a press release. Ayres and Sam McCamy of McCamy Construction will serve as lead partners in the group.
“We see a tremendous opportunity to bring about new growth, adding value in a way that will enable The Bay to reach its full potential as the region’s first choice for anyone seeking an active lifestyle in a premium residential community,” Ayres said.
The purchase leaves Rarity Bay homeowners feeling hopeful the community will have a sense of stability.
Dave Polacsek and wife, Bobbie, have lived in Rarity Bay for nearly 13 years. He said the ownership transfer was a welcome change, adding homeowners he has talked to appear “very optimistic” about the community’s future.
“Well, probably the No. 1 thing would be stability,” Dave said of what Salem Pointe Capital brings to the community. “You know, we’ve had — it’s been kind of a tough almost three-plus year transition from the previous developer. The community’s about, I would guess about half sold out, maybe a little more, maybe a fourth built up. So it needs a developer to carry the process through to completion.
“From what I know, the people that are involved in this new ownership, they’ve got experience in developing and construction, financing and seem to have a good set of skills for the community,” he added.
The previous developer, Mike Ross of Rarity Realty, faced a lawsuit and eventually bowed out of ownership duties within Rarity Bay.
“I think going forward now we’re in a very good position,” Tony Page, Rarity Bay homeowner, said. “I think the community handled — we no longer have to say, ‘Well, this portion is for sale and this portion is under jurisdiction through a declarant that was put in place by the judge that was involved.’ Now we can say, ‘Listen, Rarity Bay now has a great community.’
“There’s over 400-something residencies that are here,” he added. “They were able to go ahead and get through ... those rather difficult times and frankly we got more building going on here now than — my understanding from talking to other people here, we’ve got more building going on than they’ve ever had.”
Joe Barletta, community manager for FirstService Corporation, said 30 homes are under construction. FirstService is a management company for the Rarity Bay Community Association.
Page, who oversees the community’s public relations website, said he sees no downside to having Salem Pointe Capital taking over. Page and his wife, Cindy, have had property in Rarity Bay for seven years, but have lived full time in their house for about the past three years, he said.
“I think it’s going to be something positive and we’ll all be watching the developers to see how they do,” Page said. “The people in here care about what the — with the investment in here, and they very much pride themselves to the kind of lifestyle that we’re able to enjoy here in East Tennessee, and so we’ll be watching and we’ll be trying to give input, and our goal is to work with the developers anyway that we possibly can.”
The new owners said a survey will be sent to all community homeowners to assess services and amenities available to residents.
“I mean, it’s no secret there’s some things that need to be done,” Page said. “We’d like to see some improvements on the clubhouse. I don’t play golf, or I play very limited golf, but talking to some of the golf members I know that there’s areas of the golf course that they’d like to see addressed and improvements made, and we think the developers will go ahead and do those things.”
Other partners include Doug Yoakley of Pershing Yoakley & Associates, Spike McCamy with Sperry Van Ness-R.M. Moore, Timothy Williams of 21st Mortgage Corporation and Matt Daniels of Apex Bank.
Barletta said there have been no discussions with Salem Pointe Capital regarding any changes to the resort.
“I’m very excited about what’s going on and I see no downsides of this,” Page said. “They would be foolish to come in here and try to change everything completely. I mean, Michael Ross, be it good or bad at what he did, whatever, he had great vision and that vision has proven to be correct here.”
