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"Nothing says 'capitulation' like Calpers dumping sites at $35K a pop," tweets Jeff Matthews of...

"Nothing says 'capitulation' like Calpers dumping sites at $35K a pop," tweets Jeff Matthews of the pension giant unloading thousands of properties on which it probably paid an average price in the $75K-$150K range. The fund now looks to real estate for stability and an inflation hedge, rather than for high yields. (see also)
Comments (2)
  • Calpers are selling right at the bottom. What do they care? The tax payers will make them whole.
    18 Jan 2012, 01:44 PM Reply Like
  • I'm somewhat familiar with the Calpers residential land holdings in California, but don't know what properties are included in this sale. That said, it's hard to make money on $35k paper lots in most of California. The rest of costs can kill you. I'd love to pay that amount in Santa Clarita Valley, but I wouldn't touch it in Sacramento. I just depends. And tons of these deals were being unloaded as finished lots at 10% of costs over the last few years. No way is this a bottom of market price. We'll have to wait to see exactly where the lots are and in what condition they are in before making a better assessment.
    18 Jan 2012, 08:24 PM Reply Like
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