“Although they might soon find themselves competing against the government, who will ironically be using their very own tax dollars to do so”, said Steve. But sadly it won’t be their own tax dollars; it will be their grandchildren’s.
When will the government learn that they don’t have the right to borrow from the next generation?
Great article. So billions in our tax dollars spent and so who gets to benefit from this bailout?? Who gets to live in these condos?? Are we looking at a massive number of public housing units with endless maintence costs along with a giant bureaucracy to run them. I am sure that the other provinces will be happy to send more people who want free housing. I guess the money is coming from our already balanced budget. No wonder so many of our young talented people are moving to the US.
Fingers crossed that none of those high luxury condos will be on government's buying list... Also, I find it a bit disingenuous to lead with high luxury examples.
"We got further confirmation from the Eby government this past week that the condo bailout will move forward."
My sense is that they haven't made up their minds yet. It makes sense for them to try to defend it instead of immediately giving up. But I'm not seeing anyone at all stepping forward to say that this is a good idea.
This is exactly what socialism looks like because it is socialism. Eby describes wanting to have the " opportunity " to use our tax dollars to buy real estate owned by the government . The price simply does not matter, it is the ownership by government that destroys our standard of living and our way of life. The price is just an excuse to cover the deed. Of course the price is below replacement cost, the government at all levels contributed greatly to the high cost of building through counter productive policies and regulations heeped one on the other. The condos will clear at the right price they are just not yet at the right price. If it is vulture funds buying so be it at least they have a profit motivation to sell them at a price the public will pay.
Mr. Park. You have no idea what socialism looks like. Not in the housing. One example I know. Socialist Romania really built a lot of apartment units, lots. Basically everyone was housed on a nominal rent - there were a certain number built to be bought, a bit larger area and maybe better locations. The units belonged to the state. Yes they had less of everything else, but everyone had some decent housing that they were not kicked out. And after socialist was overturned, the new government allowed people to purchase their own apartments. I.e. on 2 bedroom, 2 balconies apartment sold at the equivalent of $1,900 USD. The state got a lot of cash injection in their hands. And 20 years after that Romania still topped the world list as the country with the highest proportion of ownership, at about 97%. That is socialism.
Where did you get the idea that the provincial and federal governments were going to pay these guys anything even close to the going price today?
Most of these developers are sitting on a whole bunch of unsold condos that they cannot sell even at today’s lower prices so if the government offers them $.10 on the dollar they’re gonna take it because at least that way they have some money from the project as opposed to having to continue to pay to keep the buildings functioning while they wait for some poor bugger that pony up the money.
“Although they might soon find themselves competing against the government, who will ironically be using their very own tax dollars to do so”, said Steve. But sadly it won’t be their own tax dollars; it will be their grandchildren’s.
When will the government learn that they don’t have the right to borrow from the next generation?
Great article. So billions in our tax dollars spent and so who gets to benefit from this bailout?? Who gets to live in these condos?? Are we looking at a massive number of public housing units with endless maintence costs along with a giant bureaucracy to run them. I am sure that the other provinces will be happy to send more people who want free housing. I guess the money is coming from our already balanced budget. No wonder so many of our young talented people are moving to the US.
Fingers crossed that none of those high luxury condos will be on government's buying list... Also, I find it a bit disingenuous to lead with high luxury examples.
Mr. Saretsky
Are any of the top ten developers in bankruptcy proceedings?
Thank you for your work.
"We got further confirmation from the Eby government this past week that the condo bailout will move forward."
My sense is that they haven't made up their minds yet. It makes sense for them to try to defend it instead of immediately giving up. But I'm not seeing anyone at all stepping forward to say that this is a good idea.
It appears bailouts may be prevalent in more industries than just housing.
https://www.pentictonherald.ca/spare_news/article_1329900e-1f70-5009-a545-e71a35bef486.html?utm_source=insolvencyinsider.ca&utm_medium=newsletter&utm_campaign=court-approves-660-million-baffinland-federal-loan-advertising-giant-receivables-face-scrutiny&_bhlid=c881f80b42fd4f8fd7c0d28d5a30ca2d7240a348
This is exactly what socialism looks like because it is socialism. Eby describes wanting to have the " opportunity " to use our tax dollars to buy real estate owned by the government . The price simply does not matter, it is the ownership by government that destroys our standard of living and our way of life. The price is just an excuse to cover the deed. Of course the price is below replacement cost, the government at all levels contributed greatly to the high cost of building through counter productive policies and regulations heeped one on the other. The condos will clear at the right price they are just not yet at the right price. If it is vulture funds buying so be it at least they have a profit motivation to sell them at a price the public will pay.
Mr. Park. You have no idea what socialism looks like. Not in the housing. One example I know. Socialist Romania really built a lot of apartment units, lots. Basically everyone was housed on a nominal rent - there were a certain number built to be bought, a bit larger area and maybe better locations. The units belonged to the state. Yes they had less of everything else, but everyone had some decent housing that they were not kicked out. And after socialist was overturned, the new government allowed people to purchase their own apartments. I.e. on 2 bedroom, 2 balconies apartment sold at the equivalent of $1,900 USD. The state got a lot of cash injection in their hands. And 20 years after that Romania still topped the world list as the country with the highest proportion of ownership, at about 97%. That is socialism.
Where did you get the idea that the provincial and federal governments were going to pay these guys anything even close to the going price today?
Most of these developers are sitting on a whole bunch of unsold condos that they cannot sell even at today’s lower prices so if the government offers them $.10 on the dollar they’re gonna take it because at least that way they have some money from the project as opposed to having to continue to pay to keep the buildings functioning while they wait for some poor bugger that pony up the money.