need help to understand the telekinetic blast ( simple blast wild talent )

[Vrischika111]

telekinetic blast simple blast wild talent:

You throw a nearby unattended object at a single foe as a ranged attack. The object must weigh no more than 5 pounds per kineticist level you possess. If the attack hits, the target and the thrown object each take the blast’s damage. Since the object is enfolded in strands of aether, even if you use this power on a magic weapon or other unusual object, the attack doesn’t use any of the magic weapon’s bonuses or effects; it simply deals your blast damage.
Alternatively, you can loosen the strands of aether in order to deal damage to both the object and the target as though you had thrown the object yourself (instead of dealing your normal blast damage). You substitute your Constitution modifier for your Strength modifier if throwing the object would have added your Strength modifier on the damage roll, and you don’t take the –4 penalty on the attack roll for throwing an object that wasn’t designed to be thrown. In this case, the object’s special effects apply (including effects from its materials), and if the object is a weapon, you must be proficient with it and able to wield it with one hand; otherwise, the item deals damage as a one-handed improvised weapon for a creature of your size.

I get the 1st part however Ravingdork raised an interesting question in another thread : what does nearby mean ?
can it be the unattended potion from the other side of the room ?
can it be the table (using Telekinetic Haul) from the opposite side of the guy hiding behind desk (thus negating cover)

my main question is : Why ever use the 2nd option ?
let's talk Lvl 7 and above (before , having the need of special material is not quite often encountered)
my blast deals 4D6+4+Con (+overflow)

what's the purpose of using the 2nd option, to throw a cold iron sword towards a fey ?
this would deal 1D8 (sword) + Con
just to avoid DR 5 / cold iron ?

the full blast would deal enough damage to absorb the DR and still deal more. without needing a pile of cold iron/silver/... sword in your backpack.

thrown alchemist fire ? you already deal damage to swarm
thrown holy water ? you blast is magical and already deals (1/2) damage...

[Cheeto Sam, Esquire]

Im not sure what nearby means, but i could see throwing a holy water as being a decent way to bypass DR.

[PossibleCabbage]

I'm pretty sure the "Alternatively, you can loosen the strands of aether" clause just in case there's some kind of plot related reason you'd want to do it, say you need to whack somebody with the macguffin (the telekineticist is good at this.) Maybe at very low levels you would want to hit a fae with a cold iron sword (1d8 vs. 1d6+4ish at 1st or 2nd level) but not thereafter.

We've played "nearby" as "within range of your basic telekinesis" wild talent (i.e. anything you can pick up you can throw) but I don't know if you could negate cover since the strands of aether still need to get from you to the object you're throwing, and if they're ducking behind a table the table can still get in the way of the strands of aether, which would impede your kinetic blast.