If the Olympic village is packaged as the sort of quasi REIT I advocate, then it changes the entire game. ie the government would not sell the land but rather the investment in the land to overseas (it doesn't yet work for UK pension funds) investors interested in a 2 or 3% real (and Islamically sound) return backed by land/property.
Moreover, with a reasonable proportion of "social" tenant what is effectively a government backed cash flow (ie housing benefits). The more affordable the rental, the more certain it is.
With the "Credit Crash" looming it's even worse than they think, because the "Black Hole" they pooh pooh is based upon the lowest scenario of land price growth ie 6% pa.
IMHO land price growth is not going to come close to that over the next 4 years. "Any economic unit can emit money. The serious problem is to get it accepted" Hyman Minsky
They made a projection based on an increase of 16% in rates over the next 15 to 20 years???
Hello? And those people are kept in position of power rather than in a, to put it kindly, specialised insitution?
Maybe government has become that kind of institution after all. Earth provides enough to satisfy every man's need, but not every man's greed. Gandhi
You're in rare form today TBG.
