Blue Lake FM radio auction
Published January 19th, 2006
Four more rounds of bidding ended yesterday with the Blue Lake license for FM broadcast service doubling in value to the $224,000 offered by George S. Flinn III.
Eureka Broadcasting Co. owner Hugo Papstein began the day with the provisionally winning bid of $107,000 for the Blue Lake license.
“My prediction was that it would go up $50,000,” said Patrick Cleary, president of Lost Coast Communications, who had the top bid at the end of last week. “Instead, it doubled. If it keeps going at 10 percent increments today, that’s another $100,000.”
“(Today) will tell the tale,” Papstein said. “You’re starting to get into serious money.”
James D. McDaniel opened the day by jumping the bid 20 percent to $130,000.
Tracy K. Wood offered $143,000 in round nine and McDaniel tacked on an increase of almost 43 percent to $204,000 before Flinn set the standard in round 11.
“I’m not particularly surprised,” Papstein said of the 43 percent hike. “You get a little anxious and tired of chugging along.”
“I’m scratching my head and not sure what to make of it,” Cleary said of the rapid price escalation. “Blue Lake is not strategically important to anyone.”
McDaniel began the day with a provisionally winning bid of $1.767 million for a license in Indian Wells.
But the Indian Wells license jumped to $5.002 million in round 11, apparently chasing McDaniel out of that market and into Blue Lake.
