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WVOX now up for sale?


Chang is getting it, for how much.... idk.

THIS ASSET PURCHASE AGREEMENT (hereinafter “Agreement” or “APA”), ismade and entered into this August 23, 2023, by and between MMTC Broadcasting, LLC, aWashington, D.C. limited liability company (“MMTC Broadcasting” or “Seller”) and JeffChang, a California individual resident (“Chang” or “Buyer”). MMTC Broadcasting is thelicensee of radio broadcast station WVOX (AM), 1460 kHz, New Rochelle, NY and associatedFM Translator W252DX (FM) 98.3 FM, White Plains, NY (together the “Station”) pursuant tocertain authorizations issued by the Federal Communications Commission (the “FCC” or“Commission”).
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Purchase Price. The purchase price for the Authorizations and Tangible Personal Property shall be seven thousand five hundred dollars ($20,000.00) (the “Purchase Price”). Buyershall wire the Purchase Price to Seller on the Closing Date (as defined below). Asadditional consideration for the Authorizations and Tangible Personal Property, Buyershall pay the FCC filing fee(s) for the application to assign the Authorizations
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The sales agreement linked in the post above apparently indicates that the buyer may be able to lease the station’s existing tower.
 
RadioGuy1864 said:
An interesting question would be how much of a tax deduction for their contribution is the O'Shaughnessy family getting for WVOX? That's the "profitable" side of this deal.

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The issue is what was "on the books" as the value and whether an independent appraisal showed as its worth. If there was a sizable estate beyond the station itself, then this could reduce the tax liability of the estate.
 
RadioGuy1864 said:
It looks like either $7,500 or $20,000. The APA is obviously a cut and paste job by someone who did not double check his/her work. Either way, I think this has got to set a new record low price for a station in the NYC market.
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An amended assignment application for WVOX has been submitted to the Commission today. The purpose was to correct the typo in the asset purchase agreement, clarifying the price as $20,000. As RadioGuy1864 said, this has to be a new record low price for a station in the NYC market.
 
Ex-RadioTV said:
An amended assignment application for WVOX has been submitted to the Commission today. The purpose was to correct the typo in the asset purchase agreement, clarifying the price as $20,000. As RadioGuy1864 said, this has to be a new record low price for a station in the NYC market.
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As the agreement apparently indicates the buyer can lease the tower that WVOX has been using, this could be a terrific deal for him.
Naturally, it will be interesting to know what format he chooses for the station.
 
Barry said:
As the agreement apparently indicates the buyer can lease the tower that WVOX has been using, this could be a terrific deal for him.
Naturally, it will be interesting to know what format he chooses for the station.
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It's a great deal for him, he got a "NYC" signal--albeit not the best AM in the market--for the price of a used car.
 
RadioGuy1864 said:
It's a great deal for him, he got a "NYC" signal--albeit not the best AM in the market--for the price of a used car.
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But he had to meet certain buyer qualifications to get it at that price. The purpose of the MMTC is to get more minorities into radio station ownership. The way that happens is to make the stations very affordable. As a result, the station is owned by a single person rather than an investment company or stockholders. Now he has to run it a certain way for a designated period of time.
 
TheBigA said:
But he had to meet certain buyer qualifications to get it at that price. The purpose of the MMTC is to get more minorities into radio station ownership. The way that happens is to make the stations very affordable. As a result, the station is owned by a single person rather than an investment company or stockholders. Now he has to run it a certain way for a designated period of time.
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How does the buyer have to run the station? For how long?
 
TheBigA said:
Depends on the deal with MMTC. Usually a buyer has to retain ownership for two years. He can't immediately resell it for a profit.
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Probably many people would have been glad to buy the station for that price, even under this requirement.
Maybe a win for the previous owner too, as the tax write off from donating WVOX may be higher than what they could actually expect to receive in a sale.
 
RadioGuy1864 said:
It's a great deal for him, he got a "NYC" signal--albeit not the best AM in the market--for the price of a used car.
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The daytime 10 mV/m signal reaches about 500,000 people in a market of 19 million. It's not a New York City station by any standards.

Back when O'Shaughnessy ran it as a local voice, there was a sense of community and a lot of local direct advertisers. Now, the area has many separate ethnic groups and a bunch of big box stores. No listeners, no advertisers.
 
Barry said:
Probably many people would have been glad to buy the station for that price, even under this requirement.
Maybe a win for the previous owner too, as the tax write off from donating WVOX may be higher than what they could actually expect to receive in a sale.
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You can only "write off" the amount you actually paid for a station. If I buy a transmitter, let's say, for $40,000 and depreciate it over the years per IRS guidelines, I can only deduct its remaining value, if any, on the books.

With art and collectables, it's different. I buy a rare coin for $100 but it is now appraised at $10,000 and I have documentation of the appraisal; I give it to a charity and can deduct the appraised value.

But a radio station is a business. I can only deduct its current value with certain restraints based on valuation. And a broker / appraiser is likely to put a very low value on a facility like that. I suspect that the heirs did not want to spend more time with a money losing station waiting for a solid offer, and found the option of a donation to be a way to wash their hands of what is now pretty much a dog facility.

1460 high on the dial. 500 miserable watts, and 122 watts at night. Woof, woof, woof.
 
Agree, but at an acquisition price of 20K, and assuming he is not going to have tower relocation/diplexing issues or get screwed over with a ruinous tower lease, an small operator who knows what he's doing could make some money with it.
 
Anyone care to give an opinion what sort of format the new owner could place on WVOX that could earn at least a modest profit?
 
RadioGuy1864 said:
Agree, but at an acquisition price of 20K, and assuming he is not going to have tower relocation/diplexing issues or get screwed over with a ruinous tower lease, an small operator who knows what he's doing could make some money with it.
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Maybe. But I don't see that to be anything that will be good for more than a few years. They will have to keep up with streaming options (and figure out how to deal with profit-inhibiting rights fees) to maintain a presence in the market.
 
WGCH 1490 AM, in nearby Greenwich CT is another small signal in the area, with a variety of talk shows. Though I certainly wish them well, this also seems to be a likely candidate for sale/donation.
 
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