Town Codes        Town Codes        Search Town Minutes

Wednesday, July 29, 2009

Flipping???!!!

An article in today's Observer Dispatch says that Ryan Companies of Minneapolis, Minnesota, is selling the recently completed Hartford Insurance Company building in the New Hartford Business Park.

According to the article:
A public relations official for Ryan Cos., which owns the building, said the decision to try to sell was based on what made financial sense.

“The decision to sell this building was a capital allocation decision, part of a select group of buildings across the country that Ryan Companies has decided to sell in order to increase the company’s overall liquidity,” spokeswoman Sarah Voight said in an e-mail.
However, when questioned as to whether or not the sale had anything to do with the recent revelations regarding the closed-door panel that had no authority to approve the business park plans, the article stated:
Voight would not directly answer questions about whether the revelations had to do with the sale, instead pointing to her initial statement.
But not to worry...according to Town Supervisor Earle Reed:
“It’s called flipping,” Town Supervisor Earle Reed said. “It’s very commonplace. Developers do that all the time, so we are not concerned at all about it.”
Supervisor Reed, do you mean flipping...as in flipping pancakes?



or flipping...as in flipping a coin?



or flipping...as in flipping a piece of real estate?

Interesting...according to Wikipedia:
Real estate flipping
Profits from flipping real estate come from either buying low and selling high in a rapidly-rising market, or buying a house that needs repair and fixing it up.
Well, they surely didn't buy low...they've got a lot of money invested in that brand new building. Can you realize profits from an expensive building that you have only collected about six months (6) rent from or are they just hoping to be lucky enough to break even?

Councilwoman Krupa, real estate attorney for Pyramid Management Group (Sangertown Mall), was quoted in the article as saying:
“I think it may be that in our market real estate prices aren’t fluctuating that much, and it’s probably a good deal for them,” she said.

It sure isn't a rapidly-rising market either! By the way, how's it going with the sale of Sangertown Square, Ms. Krupa?

Perhaps, by "flipping" Town Supervisor Reed really means that Ryan Companies is:

Flipping...as in flipping the bird to Larry Adler and town officials!


Will The Hartford Insurance Company be far behind in their desire to "get out of Dodge"?

5 comments:

Anonymous said...

WELL NOW HOW INTERESTING...WE WILL JUST HAVE TO WAIT AND SEE!!!!
wonderful artistry....really enjoyed it!!!!!!!

PLANNING BOARD.....DID THE DEAL FOR PUTTING A STORE ON THE CLINTON ROD 12B, SEE ANY ACTION. AS IF WE NEED ANOTHER BUSINESS ON THE CLINTON ROAD....ROAD IS JUST PLAIN DANGEROUS AND SHOULD HAVE BEEN WIDENED YEARS AGO AS WAS ORIGINALLY PLANNED.

Anonymous said...

Maybe it will also be sold to a non-profit so it also will be off of the tax rolls.

New Hartford, N.Y. Online said...

Anonymous #1

Regarding the store on Clinton Road. We were at the Zoning Board hearing...the request was turned down. There will be no store on that property.

Anonymous said...

The whole town board has been nothing but a disaster. Thank God for elections.

Anonymous said...

Anon:
Elections are only as good as the people who are voting in them. 20 years from now when the majority of the current voters are gone, one of two things will happen and it will all work out:

1- The voters will get someone good
2- The population will be so low, the political positions will have to be manned by the constituents.