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  • The Leveraged Buyout Of America  [View article]
    From Wikipioedia a credit union is...
    "Member-owned financial co-operative. These institutions are created and operated by its members and profits are shared amongst the owners."
    Bigger the better
    Aug 27, 2013. 10:18 PM | Likes Like |Link to Comment
  • The Leveraged Buyout Of America  [View article]
    And our favorite banker Mr. Paulson wants to add his two cents...
    Aug 27, 2013. 02:31 PM | Likes Like |Link to Comment
  • The Leveraged Buyout Of America  [View article]
    Nobody has mentioned Credit Unions. They are what I think of as "public banks".
    Aug 27, 2013. 01:56 PM | Likes Like |Link to Comment
  • The Leveraged Buyout Of America  [View article]
    Agree, its survival of the fittest. In the 50's it was go to commercial banks who wouldn't touch small business, so you were left with rich uncles, factors or Vinnie and the Boys. If you got into trouble there was blood on the streets.
    Now the money gangs, calling themselves funds or banks or capitalists or whatever, participate in public governance and use the public trough when they get into trouble. And we sheeple put up with this.
    Aug 27, 2013. 01:13 PM | 1 Like Like |Link to Comment
  • Beazer Homes Is All In  [View article]
    Good point about the 10K entry, perhaps the number of sales also declined? Or warranty work/expense was subbed out and reclassified as other expense? Or the complaints were ignored?
    I dont have any personal knowledge of Beazer and I was not stating any disparagement of Beazer quality, I was emphasizing the need to look beyond the balance sheet numbers to the actual market and product. Even Enron looked good for a while...
    Aug 13, 2013. 01:14 PM | Likes Like |Link to Comment
  • Beazer Homes Is All In  [View article]
    Good one, some of these "investors" might look pass the "Odds sheet" to the actual product. I never bet on a horse I didn't get close to when they paraded before the race.
    Aug 11, 2013. 12:01 PM | Likes Like |Link to Comment
  • Will American Homes 4 Rent Be A Great American REIT?  [View article]
    Here is another view on the future of the single family suburbs
    Aug 11, 2013. 11:55 AM | Likes Like |Link to Comment
  • Will American Homes 4 Rent Be A Great American REIT?  [View article]
    I agree that the future of this 33% part of the housing stock (and I think will go to 50% or more) is going to be placed more and more into a few corporate hands, the question is who has the deepest pockets to consolidate here, how hard do they negotiate price to buy and how long to obtain a positive cash flow. Would/could a company like Lennar or Del Webb structure a deal to buy 100 seperate $200k houses contiguous, (then hold to rent?) and then knock them down and build a community of say 1000 $300k townhomes? Maybe? Would the (local state fed) gobmint even allow this (Tea party riots anticipated here)? Would the market finance this?
    The economy of the single-owned freestanding family home is obviously going away except for the top half of the market, due to the enormous costs of buying/maintaining a home and the uncertainties of our economy. With median incomes shrinking, and median home prices rising, single family home ownership in the bottom 50% of the market has become a recipe for disaster. If you can use Detroit for an example, whole neighborhoods will be bulldozed and redeveloped, where this makes sense, not as a home on a 1/4 acre building lot, but at the maximum as a 20-30 unit per acre town-home type development with separate
    amenities (like recreational yards, parking), similar to what is happening right now here in Houston. This (new) product, built to appeal to young families, can be rented and/or (later) purchased as structured.
    Aug 10, 2013. 12:45 PM | Likes Like |Link to Comment
  • Will American Homes 4 Rent Be A Great American REIT?  [View article]
    Underestimating is another key. After estimating construction and maintenance costs for over 40 years, I can tell you there are black swans everywhere. For instance, how many cracked slabs or broken (pier and) beams can you estimate for when you have a 5 year long drought like in Texas?
    Aug 10, 2013. 12:21 PM | Likes Like |Link to Comment
  • Will American Homes 4 Rent Be A Great American REIT?  [View article]
    Professor Plum and his mafia put me in this one for my IRA property bucket (Wells II)
    in 2003 or so, I crapped out in 2007 when they started buying empty office buildings for over $300/sf (I was building same for for about $100)...cost me 10% but I was happy to be away; never looked back.
    Aug 8, 2013. 04:58 PM | 1 Like Like |Link to Comment
  • Will American Homes 4 Rent Be A Great American REIT?  [View article]
    As I have said before, I have worked on this model on a very small scale (35 properties, ALL in the same city!). I am not surprised at the vacancy rate. The only sucesses we had was to rent HUD, or to hire the tenant to fix up in return for rent discounts. VERY risky that.
    This is a local business. I think the levels of management required would blow any nationals out of the water. Decentralize, hire locals to manage, play the waiting game on resales.
    Recently I "tried out" as a rehab contractor for a hedge buying rent houses in Houston. The houses and listing prices I saw were too high, the prices they were willing to pay for the rehab work were way too low...dream on.
    By the way, I also worked for Private Mini Storage here (Public Storage competitor) and I will say that the storage business is almost a slam dunk if located and built right, as can be shown by the number of new facilities going up. I would build/operate one myself with the right location.
    Aug 7, 2013. 11:58 AM | 2 Likes Like |Link to Comment
  • China Maneuvers To Take Away U.S.' Dominant Reserve Currency Status  [View article]
    Thanks. I posted to expand the discussion with another perspective from a respected source. I meant no disrespect to Mr. Winter. Freidman doesn't mention gold; and I have always thought that his Stratfor has their heads in the clouds when it comes to street-wise economics which is why I love reading Seeking Alpha.
    That being said, I think the commodity tree shaking/manipulating done by the China politboro (or the Russian guy, what would you call him, a thug?) is a symptom of their main problem, that a miniscule selection of dictators can not possibly make intelligent decisions to control or manage an economy of a nation. I have always seen China (similar to USSR and its former dominion) as top heavy states that will fall of its own weight. The population is simmering more each day. Whatever you say about the USA, we have mostly solved our problems from the bottom up. Most of what I read here is comments/complaints that we are being led astray, and the Americans, sooner or later, will not stand for that.
    Jul 29, 2013. 08:27 PM | 1 Like Like |Link to Comment
  • China Maneuvers To Take Away U.S.' Dominant Reserve Currency Status  [View article]
    Anyone read Stratfor? Here is another view on China, in the world, with no mention of gold.
    Jul 28, 2013. 09:47 AM | 3 Likes Like |Link to Comment
  • Why Is Britain's Ministry Of Defense Predicting $500 Per Barrel Oil Prices?  [View article]
    Supply and demand, give and take, central bankers screwing with money, what does $500 a barrel mean in terms of the world economy anyway? Now if one of these companies can figure out how to make money for $50 a barrel while the rest are hoping for $500 to cover their costs...Don't bet against it (Thanks, George Mitchell!)
    Jun 8, 2013. 12:56 PM | Likes Like |Link to Comment
  • When I Say That AmREIT Is Irreplaceable, I Mean It's A Good REIT To Buy Today  [View article]
    Builder here in Houston (and all across Texas) for many years, and long an admirer of Weingarten, the concentrating on "power" corners is not a secret in the business. As we built many corner Walgreens (strange that they have no position in the above tenant mix - I do know CVS paid huge premiums for corners to be near Walgreens in Houston when they came here first), Chase Bank, restaurants, etc. but never built for AMREIT (I have heard of them of course)...I agree with this "corner" approach; I also agree that they are somewhat geographically limited...Publix is huge in southeast so maybe that is where they are going (Florida).
    As an investor I would like to know, if possible, how their leases are structured? The relationship between a shopping center developer/owner and a chain can be the key to success for both, or an albatross in down times for either. Also, do you know if AMREIT plays with any of the multi-family developers who are doing their mixed use (combining retail with residences) best to create another segment of the market building boom here?
    Apr 9, 2013. 10:51 PM | 1 Like Like |Link to Comment