It's not even July and we're already talking about the Arizona auctions
next January. It seems there may be a battle brewing over a 12-acre parcel of land that Russo and Steele and Barrett-Jackson
both want. The Scottsdale property is adjacent to the current Russo and Steele auction site and has been partially used by Russo and Steele without permission in the past. It is also becoming a potential battleground for the two large auction companies. Russo and Steele is smaller and younger than Barrett-Jackson, but it has grown enough that it apparently spilled out of its leased
land boundaries and onto the State-owned parcel in question. Russo is trying to renegotiate the use of this disputed land, but is running into unexpected competition. B-J is also looking into leasing the land for additional parking to accommodate big rigs and trailers that have filled their lots across the 101 at WestWorld.
Russo claims that Barrett-Jackson is intentionally trying to ruin their business by attempting to lease the needed land for themselves. Jackson says that they have no desire to run Russo and Steele out of business, but that R and S brought it upon themselves by using the land without permission in the past. The State Land Department will investigate both applications and decide who has the better claim. According to the Arizona Republic
article, if that can't be determined, then the lease would be decided by a closed bidding process. With its much deeper cash reserves, that bidding war would undoubtedly go to Barrett-Jackson, but we'll have to wait and see what happens. We'll try to keep you posted.
[Source: The Arizona Republic]