Boys gone wild
- Thread starter prgudula
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Wysiwyg
Everyone wants money
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Do not know how to react to what??
Communication wise don`t you think it is better to provide a description or identification of the thread you opened?
I for one don`t get "directed" to a posted link without some idea of what the story is about.
Stormin_Norman
Currency Trader
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f*ck the government. if its not stupid wars its stupid handouts.
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I read somewhere, weekend Aust I think, that gambling increased by up to 25% in some areas after the handout.
At least you now know how your money was spent, gotta feel good about that eh !
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I was a commercial real estate agent for over 20 years and I can tell you absolutely this is off the wall.
No one builds commercial property unless they're in good/growth times or they already have a tenant in place.
Neither is the case at present unless the Govt will step in and lease the buildings and make the developers richer and cost the Tax Payer more.
A building with a 20 year lease to the Govt is a developers dream come true, so is having a PM stupid enough to hand it to them on a platter.
No one builds commercial property unless they're in good/growth times or they already have a tenant in place.
Neither is the case at present unless the Govt will step in and lease the buildings and make the developers richer and cost the Tax Payer more.
A building with a 20 year lease to the Govt is a developers dream come true, so is having a PM stupid enough to hand it to them on a platter.
Has anybody noticed we are in the middle of a global liquidity crisis?
Well run and well capitalised commercial property trusts are unable to roll over their loans because CMBS markets are closed and foreign banks are walking away.
What is wrong with the government stepping in and filling the hole left???
They are not handing out anything!
The government is the only entity it seems who can borrow in this market so they can issue government bonds at 3% and lend to property owners at 8-9% and make a profit!!!
When the global crisis returns to normal then they can allow the property companies to refinance the loans with CMBS money or loans from foreign banks and close the fund.
Idiotic press will always fool idiots it seems
Well run and well capitalised commercial property trusts are unable to roll over their loans because CMBS markets are closed and foreign banks are walking away.
What is wrong with the government stepping in and filling the hole left???
They are not handing out anything!
The government is the only entity it seems who can borrow in this market so they can issue government bonds at 3% and lend to property owners at 8-9% and make a profit!!!
When the global crisis returns to normal then they can allow the property companies to refinance the loans with CMBS money or loans from foreign banks and close the fund.
Idiotic press will always fool idiots it seems
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There's no damn tenants does that ring any bells ??? and if there were they'd get finance anyway, the Govt is propping up dodgy dadly timed developements at taxpayer cost.
Mr Burns you are wrong they will not get finance. This fund is not to support developments but to support existing buildings that are full, where the owner cannot roll over his debt. The best capitalised property trusts in the country are struggling to rollover debt and are having to resort to equity markets. But that will not be enough - not by a long way. There is over $20 billion in debt that needs to be refinanced this year alone - the equity market cannot (and will not) be able to cover that refi. The alternative is to dump commercial property onto the market in a massive firesale that will have an end result in all commercial property in this country being owned by vulture funds and the Government being forced to nationalise the banks who have lost $$billions
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So how does this save jobs in the construction industry - 50,000 as reported to be exact.
prawn_86
Mod: Call me Dendrobranchiata
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In theory the banks should not be nationalised, they should fail.
Thats what free markets is about, but the western govs of the world are now no different to the communists they used to condemn IMO.
50,000 jobs is Rudd spin and complete rubbish. The banks are putting pressure on Rudd to deemphasise the whole development and construction industry job story that he announced this with because it is about providing liquidity to well managed companies not protecting jobs.
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Sorry having trouble keeping up.
I think the media know
http://www.theaustralian.news.com.au/story/0,25197,24967831-5014087,00.html
I think the media know
http://www.theaustralian.news.com.au/story/0,25197,24967831-5014087,00.html
prawn_86
Mod: Call me Dendrobranchiata
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So it comes back to politics. Politicians just trying to save themselves and get their cushy pensions, rather than practicing what they preach (IE - free markets)
Tossers, the lot of them, imo
hello,
thats right prawn, and add farmers, farmers, farmers and motor car manufacturers and any others to that list
yeah man, I am so anti-establishment,
thankyou
robots
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I agree prawn whats happening with the nationalization of banks is simply disgusting!
The Icelandic Bank Job
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"There is no evidence yet of funding problems caused by the withdrawal of foreign banks, but the Government decided to announce the commercial property proposal as a pre-emptive move.
Mr Rudd said the scheme would save up to 50,000 jobs in a sector where many of those employed were tradespeople, such as plumbers, electricians and carpenters.
But Opposition Leader Malcolm Turnbull argued that the scheme had nothing to do with protecting jobs and was about protecting the banks' balance sheets by propping up the value of commercial property loans.
The banks were clearly apprehensive at any suggestion the Government would over-emphasise the construction aspect of the scheme."
The email from Westpac warned the Treasury against creating any impression that construction projects were a central focus of the initiative.
"As we all discussed (and is reflected in the latter parts of the release), the focus is on refinancing of existing properties, and development would only be considered on an exception basis," the bank's email to Treasury officials said. "And even in those cases it is not intended the vehicle would take on construction risk."
An email from ANZ to Treasury said: "The focus on construction is overplayed, and does not reflect the initial spirit."
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All a bit misleading from Govt.
I dont think too many "new" projects will be getting away any time soon.
For a start, how would you get finance?
And why would you build commercial RE now, when you are certain to be able to buy at well below build cost, if not now, then very soon.
I have a friend within one of the mentioned REITs.
They have ceased all new development and dispensed with staff in that area
Mr Rudd said the scheme would save up to 50,000 jobs in a sector where many of those employed were tradespeople, such as plumbers, electricians and carpenters.
But Opposition Leader Malcolm Turnbull argued that the scheme had nothing to do with protecting jobs and was about protecting the banks' balance sheets by propping up the value of commercial property loans.
The banks were clearly apprehensive at any suggestion the Government would over-emphasise the construction aspect of the scheme."
The email from Westpac warned the Treasury against creating any impression that construction projects were a central focus of the initiative.
"As we all discussed (and is reflected in the latter parts of the release), the focus is on refinancing of existing properties, and development would only be considered on an exception basis," the bank's email to Treasury officials said. "And even in those cases it is not intended the vehicle would take on construction risk."
An email from ANZ to Treasury said: "The focus on construction is overplayed, and does not reflect the initial spirit."
################################################################
All a bit misleading from Govt.
I dont think too many "new" projects will be getting away any time soon.
For a start, how would you get finance?
And why would you build commercial RE now, when you are certain to be able to buy at well below build cost, if not now, then very soon.
I have a friend within one of the mentioned REITs.
They have ceased all new development and dispensed with staff in that area
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