Sunday, January 18, 2009

floe


A Vancouver real estate developer is making an unprecedented move to offer a liquidation sale of $350 million worth of its condominiums throughout the Lower Mainland.

The marketing strategy by Onni Group of Companies is aimed at selling off hundreds of condos in its inventory.

About 375 unsold condominiums in cities such as Richmond and New Westminster will be offered at 20 to 40 per cent off...
link
There goes the neighbourhood. Pity the fools who bought at full price. I caught a brief news clip, and the condo "owner" was flipping out. The poor bastidge probably thought that he would be selling at a tidy profit in a year, and now his condo is worth at least 20% less. This flo development is more like an ice floe that people were cast off on to perish.



In my not-so-humble opinion, the suckers buying at the sale prices will also be finding that they have bought depreciating assets. Then comes the earth quake that will literally put them underwater.

After a 20 hour "emergency session" of the Legislature, Vancouver has received the go-ahead to borrow the money to finish the Millenium (Under) Water fiasco. You, nor I, will be consulted. That will be at least $456 million, and the latest is that it could be as much as $750 million. The limit imposed by the Leg. is to be found somewhere between the Sea and the Sky. In other words, there is no limit. I don't know about you, but I don't think that a billion dollar decision should be made after 20 hours of deliberation. I know that my own head is not very clear after an hour of debate, let alone 20 hours. The silver lining is that the City of Vancouver can borrow the money at "around 4%", while the developer (and us since September) pays 11%. So how is it good that I can borrow money cheaper than you, to cover your arse?

Who did the 52% that voted for the Olympics think was going to pay for this? Who got a Senate seat? Why do we have to have a 60% majority to have proportional representation, but only a 51% majority to put on a party for the rich, that costs us untold billions - directly and indirectly - disrupts our city and lives for 7 years, fuels an RE bubble that sucks in tens of thousands of slogan-addled believers into a lifetime of servitude to own a decaying, poorly built, and over-priced condo.

After 21 years in Vancouver, I have finally had enough. I don't want to pay for this. I'm going to buy a windmill, some hens and a rooster, hand tools, ammo, seeds, some goats, a few dogs, a few friends, a ukelele, an electric 4X4, 99 bottles of beer, buy a lease, build a sod house, learn to love potatoes, trade them for corn liquor, trade that for tobacco, trade that for dental floss and boots, and maybe a paper clip. What? You think that's crazy talk?, Yeah, well, real estate never goes down, you know.

This is going to be one of my last posts here, I think. I still have some photoshops that I just have to do, and a few comments to make, but let's face it, RE is dying an ignoble death. There is no joy or fun in that, and I am over taken by other, more pressing things. I just don't have the time to put in a decent effort anymore, and I'm just embarrassing myself now. Grin.

19 comments:

Many Franks said...

*That* is a good post, Solipsist. Don't close up shop just yet -- and fer chrissakes don't leave town! If all the critical thinkers up stakes and leave, it'll just compound the mess.

Anonymous said...

Great rant!! Don't stop posting!

Anonymous said...

Sad to see you leaving the blogsphere. Understand if you want to get out of Vancouver though.

pbell

Anonymous said...

All the best Sop and thanks for the effort if the end of this blog is near! I am with you on topic...really talking about real estate in Vancouver in 2009 will be like reporting on a massacre in some remote village. Just not pretty.

Amarulaman

Anonymous said...

oh please don\t stop. I enjoy coming here with my morning coffee and just thinking about the situation. Things could still be mighty interesting. Stay for the afterparty please.

Anonymous said...

I really don't think RE is bored.

http://vancouver.en.craigslist.ca/mat/997341868.html

Anonymous said...

Don't go! Don't go!

Remember, it's always darkest right before the tornado, and the sh*t, REALLY hits the fan!

I wouldn't miss it for the world!

Anonymous said...

Anon 12:50: Oh what a moron. Fake colonial pressboard doors are SO 80's... slab doors rock. No dust catching molding, smooth, modern looking, nice real wood finishes...

No accounting for Home Cheapot tastes. Bet he's going to put ceramic tile over the granite too and paint the stainless steel appliances white.

With a BRUSH...

Anonymous said...

the hens will certainly be glad you took the rooster along....

blueskies

Anonymous said...

Your best rant yet.

Keep posting!

Chilled said...

The next time you hear a politician use the word ‘billion’ in a casual manner, think about whether you want the ‘politicians’ spending YOUR tax money.

A billion is a difficult number to comprehend, but one advertising agency did a good job of putting that figure into some perspective in one of it’s releases.

A..
A billion seconds ago it was 1959.

B.
A billion minutes ago Jesus was alive.

C.
A billion hours ago our ancestors were living in the Stone Age.

D.
A billion days ago no-one walked on the earth on two feet.

E.
A billion dollars ago was only 8 hours and 20 minutes, at the rate our government is spending it.

Chilled said...

If you are serious about shutting it down, thanks for your effort to date, truly appreciated.

Anonymous said...

Here's another:

I doubt a real billion dollars existed before the world got off the gold standard. Since then trillions have been created, first, by printing presses run amok, and lately, by computers.

Easy come, easy go.

solipsist said...

Oh, gurgh! You folks don't make it easy to retire gracefully. I've still got a lot to say, but it is...out there...

I've enjoyed flaying the RE market - in Vancouver, and abroad - but there is much more serious shite coming down the pike than job loss and bankruptcy. Some will have an inkling or understanding, and some won't. I do not care to influence anyone, as I am not yet convicted of my own convictions.

Obama minds me of the shop-keeper offering 90% off to stave off bankruptcy. Harper reminds me of a pharmaceutical salesman. Ignatieff reminds me of someone dependent on pharmaceuticals. May reminds me of a post-menopausal woman who still has dreams of matriarchy, Duceppe reminds me of a junkie. There is a paucity of lucid minds running the ships of state, and while I have never looked to government to save my own sorry arse, I have had expectations of gov't to do something right for my fellow citizenry. That they can't/won't makes me think of more survivalistic actions. I might approach some of that thinking here, but brace yourselves; I still have sorted out little, and the thoughts that I am having freak even me out. When I prattle about wind turbines, hydroponics, hens, roosters, seeds and dental floss, I am not really being facetious.

pbell - I am having a hard time leaving...

blueskies - the hens will not be nearly so happy as the rooster.

Aramulaman - I thought that it was like complaining of a sore toe, and an inability to move- while standing on a train track with the West Coast Express tooting it's horn, or treating a carbuncle while someones femoral artery gushes it's last.

Chilled - yer cool.

Let's see where this goes. I am loathe to pack it in, but... there is so much more... maybe too big to write about...

J.Son said...

About 4-5 months ago, I checked out Flo with a friend. They were trying to sell her a 650 sqft (looked smaller) 1-bedroom condo for $279k, and were willing to throw in an extra storage locker. The original list price on the condo? About $375k. This is nothing new, they're just more desperate and willing to go public with the price reductions. I don't blame them though, they have to keep paying the staffers who have to sit in the display suite all day everyday.

HKoldmanin TW said...

C, with immense Chinese purchasing power those apts sold within few days; after, 2010 Van RE will resume its usual upward trend for the yrs to come cos Van RE is mainly supported by Chinese population.

Anonymous said...

Soli, can I be among the friend you take?

mk-kids

solipsist said...

mk-kids - you're in!

Ontario Real Estate Agent said...

Your topic was great! Thanks for taking a moment to draft such an interesting piece…

Toronto Real Estate Agent