Ugly Buildings

[Davo36]

I think he has more money than you or me.
Given his comeback since RJI crashed I think he has some idea on what he is doing.

Well of course he's a very successful investor. I wasn't questioning that.

But I've read all his books, articles etc. And in many of them he:

1) Is very clear on his differentiation of property investor vs property developer.

2) He says many times that all developers go broke. Here's a few quotes Google brought up:

One of his most popular addresses in the 1990s was 'Why Property Developers Go Broke".

Link

[On a larger New Zealand property developer that went bankrupt] J. B. L created an empire of people instead of property – and people cost money whereas property earns it.

Link

Another consideration overlooked by politicians and the public is that investors are not developers – and nor do they wish to be. Development is fraught with difficulties, which is why ultimately all property developers go broke.

Link

So I find it really interesting that he's developing. Now this is small compared to the value of all his other holdings, so even if he makes no money out of it and/or it costs twice as much to build as he thinks etc etc. he won't go broke or anything.

But seriously, I think this might be a signal we're at the top of the market. He can't find any investments that fit his criteria. He's being fussy of course, but there's probably also very few office towers on the market just now.

You heard it here first lol.

[Wayne]

So I find it really interesting that he's developing. Now this is small compared to the value of all his other holdings, so even if he makes no money out of it and/or it costs twice as much to build as he thinks etc etc. he won't go broke or anything.

But seriously, I think this might be a signal we're at the top of the market. He can't find any investments that fit his criteria. He's being fussy of course, but there's probably also very few office towers on the market just now.

You heard it here first lol.

I don't know how he has structured whatever he is doing.
He is so against developing I'd be surprised if he is doing it himself.
You sure he hasn't got a developer to build him something that he will buy - not the same thing as being the developer himself (the risk is with the developer)?

He has done that before - there was a building in Auckland that he spat the dummy on because they didn't make the floor height what it should have been - I believe he didn't settle on that one.

[Davo36]

He has done that before - there was a building in Auckland that he spat the dummy on because they didn't make the floor height what it should have been - I believe he didn't settle on that one.

Yeah the crash had hit and the building wasn't finished so he reneged on the contract to buy it. And the spurious reason given was the floor height.

[Wayne]

Yeah the crash had hit and the building wasn't finished so he reneged on the contract to buy it. And the spurious reason given was the floor height.

but he got away with it so all good for him.

[donna]

I'll take a snap of some here in Kapiti - I won't have to look too hard

[Bob Kane]

He is so against developing I'd be surprised if he is doing it himself.
You sure he hasn't got a developer to build him something that he will buy - not the same thing as being the developer himself (the risk is with the developer)?

One of his buildings got damaged in the earthquake last year and needs to come down.
Bob now has the luxury of getting a replacement building - maybe for free.
Instead of paying some latte-drinking jaffa who wears sunglasses on his head, Bob figured he could design it himself as he's an expert on property.
How hard could it be?
So he's not really developing, he's just having a bit of fun with the insurance money.

[Beano]

Well of course he's a very successful investor. I wasn't questioning that.

But I've read all his books, articles etc. And in many of them he:

1) Is very clear on his differentiation of property investor vs property developer.

2) He says many times that all developers go broke. Here's a few quotes Google brought up:

Link

Link

Link

So I find it really interesting that he's developing. Now this is small compared to the value of all his other holdings, so even if he makes no money out of it and/or it costs twice as much to build as he thinks etc etc. he won't go broke or anything.

But seriously, I think this might be a signal we're at the top of the market. He can't find any investments that fit his criteria. He's being fussy of course, but there's probably also very few office towers on the market just now.

You heard it here first lol.

Read the quotes....
I liked the one about the worst businesses. ..forest ..airlines. ..not so happy to read about hotels :-(