Implode-Explode Heavy Industries news feed http://implode-explode.com/ Tracking the many faces of the global credit implosion. en-us iehi-feed-64947 Tue, 17 Sep 2019 14:27:01 GMT WeWork to Delay IPO Amid Suspicion It Is Not Actually a Tech Company Worth $47 Billion http://implode-explode.com/viewnews/2019-09-17_WeWorktoDelayIPOAmidSuspicionItIsNotActuallyaTechCompanyWorth47B.html iehi-feed-64941 Sun, 15 Sep 2019 23:24:23 GMT The Trump Admin's Fannie and Freddie "Reform" Plan is A Cronyism Rehash http://implode-explode.com/viewnews/2019-09-15_TheTrumpAdminsFannieandFreddieReformPlanisACronyismRehash.html It's official: The Trump administration has a plan to deal with mortgage giants Fannie Mae and Freddie Mac -- by returning them to the same quasi-governmental form that set them up for failure in the 2008 financial crisis. If executed, it's likely to be a win for a small coterie of hedge funds, and a big loss for everybody else.

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There are better options. For example, Fannie Mae and Freddie Mac could be merged into a single, fully government-owned corporation that would transfer most of its credit risk to private investors, retaining just the catastrophic risk that only the government can bear. This would get private capital involved without letting it so easily shift risk to taxpayers. Pricing the guarantee correctly would be easier. This in turn would promote more competition from completely private lending channels. As it happens, Fannie Mae and Freddie Mac have already been moving in this direction, issuing special credit-risk-transfer securities and creating a common mortgage-securitization platform.

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iehi-feed-64940 Sun, 15 Sep 2019 12:22:48 GMT Former NYPD Officer Pleads Guilty To Tax Fraud http://implode-explode.com/viewnews/2019-09-15_FormerNYPDOfficerPleadsGuiltyToTaxFraud.html iehi-feed-64937 Fri, 13 Sep 2019 16:14:02 GMT One in Four of New York's New Luxury Apartments Are Unsold As 3-Year Market Downturn Deepens http://implode-explode.com/viewnews/2019-09-13_OneinFourofNewYorksNewLuxuryApartmentsAreUnsoldAs3YearMarketDown.html Among the more than 16,200 condo units across 682 new buildings completed in New York City since 2013, one in four remain unsold, or roughly 4,100 apartments -- most of them in luxury buildings, according to a new analysis by the listing website StreetEasy.

"I think we're being really conservative," said Grant Long, the website's senior economist, noting that the study looked specifically at ground-up new construction that has begun to close contracts. Sales in buildings converted to condos, a relatively small segment, were not counted, because they are harder to reliably track. And there are thousands more units in under-construction buildings that have not begun closings but suffer from the same market dynamics.

Projects have not stalled as they did in the post-recession market of 2008, and new buildings are still on the rise, but there are signs that some developers are nearing a turning point.

Already the prices at several new towers have been reduced, either directly or through concessions like waived common charges and transfer taxes, and some may soon be forced to cut deeper. Tactics from past cycles could also be making a comeback: bulk sales of unsold units to investors, condos converting to rentals en masse, and multimillion-dollar "rent-to-own" options for sprawling apartment... The slowdown is uneven and some projects are faring better than others, but for well-heeled buyers there is no shortage of discounts and sweeteners to be had.

... the city's flagging condo market [...] peaked about three years ago amid a glut of inventory. Now the market could face new obstacles, from growing fears of a recession, to changes in tax law and political instability heading into an election year.

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Moreover, a growing share of condos sold in recent years have been quietly re-listed as rentals by investors who bought them and are reluctant to put them back on the market. Of the 12,133 new condos sold between January 2013 and August 2019, 38 percent have appeared on StreetEasy as rentals.

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The downturn has been hardest on the ultraluxury market, which kickstarted the trend toward bigger and fancier apartments more than six years ago. The super-tall One57 tower, completed in 2014 and considered the forerunner of Billionaires' Row, a once largely commercial corridor around 57th Street in Midtown, remains about 20 percent unsold... "That's mind-blowing," Mr. Miller said, because the building actually began marketing eight years ago, in 2011, and a typical building might sell out in two to three years in a balanced market.

In an analysis of seven luxury towers on and around Billionaires' Row, including pending sales, almost 40 percent of units remain unsold... [the analysis shows] there are over 9,000 unsold new units in Manhattan [including] so-called "shadow inventory," which developers strategically do not list for sale to hold off for a stronger market. At the current pace of sales, it would take nine years to sell them... New development is also performing worse than the resale market. From January to late August, there was a 35 percent drop in the number of contracts signed for new development at or above $4 million, compared to the same period last year...

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iehi-feed-64932 Thu, 12 Sep 2019 21:23:12 GMT Ditech Bankruptcy Deal Assures Ditech's Sale http://implode-explode.com/viewnews/2019-09-12_DitechBankruptcyDealAssuresDitechsSale.html iehi-feed-64929 Wed, 11 Sep 2019 14:34:36 GMT WTC First Responders And Ground Zero Workers: We Are Here To Help You! http://implode-explode.com/viewnews/2019-09-11_WTCFirstRespondersAndGroundZeroWorkersWeAreHereToHelpYou.html iehi-feed-64928 Tue, 10 Sep 2019 13:28:05 GMT BB&T Bank Puts $120K In Couple's Account. Police Arrest The Couple http://implode-explode.com/viewnews/2019-09-10_BBTBankPuts120KInCouplesAccountPoliceArrestTheCouple.html iehi-feed-64927 Mon, 09 Sep 2019 16:06:27 GMT New York Real Estate Progeny Marc Menowitz Accused Of Sexual Harassment http://implode-explode.com/viewnews/2019-09-09_NewYorkRealEstateProgenyMarcMenowitzAccusedOfSexualHarassment.html iehi-feed-64926 Sun, 08 Sep 2019 15:25:51 GMT Top 100 Largest Landowners In US Control 40 Million Acres http://implode-explode.com/viewnews/2019-09-08_Top100LargestLandownersInUSControl40MillionAcres.html iehi-feed-64925 Sun, 08 Sep 2019 12:50:38 GMT DEADBEAT TENANT ALERT: Tenant Played Dead To Avoid Paying Rent http://implode-explode.com/viewnews/2019-09-08_DEADBEATTENANTALERTTenantPlayedDeadToAvoidPayingRent.html iehi-feed-64924 Sat, 07 Sep 2019 16:55:37 GMT FAKE LANDLORD ALERT! New York Police Bust Fake Landlord http://implode-explode.com/viewnews/2019-09-07_FAKELANDLORDALERTNewYorkPoliceBustFakeLandlord.html iehi-feed-64923 Fri, 06 Sep 2019 16:17:27 GMT Harlem Homeowner Sees Mortgage Balloon From $100,000 To $7 Million http://implode-explode.com/viewnews/2019-09-06_HarlemHomeownerSeesMortgageBalloonFrom100000To7Million.html iehi-feed-64922 Thu, 05 Sep 2019 20:33:47 GMT Dubai Villa Prices Fall to Below Financial Crisis Prices http://implode-explode.com/viewnews/2019-09-05_DubaiVillaPricesFalltoBelowFinancialCrisisPrices.html Dubai house prices plummeted to their lowest levels in over a decade last quarter, according to new data from U.A.E.-based property firm Cavendish Maxwell. The average single-family home price sunk 24% over the past year to AED1.82 million (US$495,500), a level not seen in over 11 years despite a global recession and regional economic meltdowns over the past decade, according to data on website Property Monitor.

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The average house, referred to locally as a villa, is now trading for less than it did during the darkest days of the global financial crisis and subsequent credit crunch, which hit Dubai the hardest in 2010-11. It's also lower than at any point since oil prices crashed in 2015, according Property Monitor, which is powered by Cavendish Maxwell.

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While the Dubai economy remains relatively robust, powered by nearly 8 million foreign expats who live and work in the city, nonstop building has created a glut of housing that's prevented home values from appreciating in more than a decade.

Sprawling master-planned communities dotted with mansions have been hit the hardest.

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iehi-feed-64920 Thu, 05 Sep 2019 19:55:45 GMT WeWork is slashing its valuation to less than $25 billion; Delaying IPO amid tepid demand http://implode-explode.com/viewnews/2019-09-05_WeWorkisslashingitsvaluationtolessthan25billionDelayingIPOamidte.html The valuation targets for controversial real estate company WeWork are being dramatically lowered and the real estate company will not go public next week, sources told CNBC's David Faber. Even at a $25 billion valuation, the demand is not there, according to the sources. WeWork last raised money at a $47 billion valuation in the private market.

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Sam Zell, who made nearly $6 billion in the commercial real estate business and joined CNBC on Wednesday, slammed WeWork for offering little more than what already exists in the marketplace.

"I had the privilege of investing in this kind of company once before. As a matter of fact, this kind of company began in 1956," when office subletting emerged, Zell said Wednesday. "Every single company in this space has gone broke," he said.

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iehi-feed-64919 Thu, 05 Sep 2019 17:45:59 GMT Don't Be A Victim Of BofA & Countrywide's America's Wholesale Lender Scam http://implode-explode.com/viewnews/2019-09-05_DontBeAVictimOfBofACountrywidesAmericasWholesaleLenderScam.html iehi-feed-64909 Wed, 04 Sep 2019 00:49:07 GMT Adoption Scam Alert! Michigan Mother Pleads Guilty In Adoption Scam http://implode-explode.com/viewnews/2019-09-03_AdoptionScamAlertMichiganMotherPleadsGuiltyInAdoptionScam.html iehi-feed-64907 Tue, 03 Sep 2019 21:28:59 GMT Is Trump National Doral Miami Infested With Bed Bugs? http://implode-explode.com/viewnews/2019-09-03_IsTrumpNationalDoralMiamiInfestedWithBedBugs.html iehi-feed-64906 Tue, 03 Sep 2019 21:27:22 GMT Are HGTV Reality Shows Fake? You Betcha! Fake As A $3 Bill http://implode-explode.com/viewnews/2019-09-03_AreHGTVRealityShowsFakeYouBetchaFakeAsA3Bill.html iehi-feed-64902 Wed, 28 Aug 2019 22:13:48 GMT What Trump Secrets Are Hiding Inside Deutsche Bank? http://implode-explode.com/viewnews/2019-08-28_WhatTrumpSecretsAreHidingInsideDeutscheBank.html Deutsche Bank's disclosure on Tuesday that it has tax returns related to President Trump's family or business set off a frenzy of speculation about what those materials might reveal.

But a trove of other data and documents that his longtime lender is sitting on might prove more revelatory to investigators digging into Mr. Trump's finances. That includes records of how Mr. Trump made his money, whom he has partnered with, the terms of his extensive borrowings and what transactions he has engaged in with Russians or other foreign nationals.

For nearly two decades, Deutsche Bank was the only mainstream financial institution consistently willing to do business with Mr. Trump, who had a long record of defaulting on loans. The bank over the years collected reams of his personal and corporate information.

Two congressional committees have subpoenaed Deutsche Bank for a vast array of records related to Mr. Trump -- including any tax returns since 2010. The investigators are hoping the materials will shed light not only on the president's finances but also on any links he has had to foreign governments and whether he or his companies were involved in any illegal activity, such as money laundering for people overseas.

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iehi-feed-64899 Tue, 27 Aug 2019 17:31:17 GMT Beverly Hills Realtor Busted Robbing Several Celebrity Homes http://implode-explode.com/viewnews/2019-08-27_BeverlyHillsRealtorBustedRobbingSeveralCelebrityHomes.html