Articles

Last Madoff Home Has Buyer in Florida, WSJ

The two other Madoff properties seized by the federal government have long since sold. A beachfront Montauk, N.Y., home went into contract just two weeks after being listed; Steven Roth of Vornado Realty Trust bought it for $9.41 million. Mr. Madoff's Manhattan penthouse went into contract less than five months after it was listed, selling to Alfred R. Kahn of 4Kids Entertainment for $8.8 million.  

A Palm Beach, Fla., home owned by Ruth Madoff, wife of Bernard Madoff, has gone into contract in the $5 million range, people familiar with the deal said. It was the last Madoff home on the market as the government sells off property to repay investors victimized by Mr. Madoff's Ponzi scheme.Built in the early 1970s and renovated in the early 1990s, the nearly 8,800-square foot, five-bedroom home on the intercoastal waterway was originally listed in September 2009 for $8.49 million and most recently for $6.5 million. The home is near the Palm Beach Country Club, which counted Mr. Madoff as a member and from which he drew many investors. U.S. Marshals spokesman Roland Ubaldo confirmed Tuesday the home was in contract but declined to otherwise comment on the deal.
By Juiiet Chung, Oct. 13, 2010 WSJ

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10/13/10 wsj Ms. Madoff's Palm Beach, Fla., home shown last year.

'The Buzzard of Backcountry' Strikes It Rich in National Parks, WSJ

Thomas Chapman built a luxury home inside Black Canyon of the Gunnison National Park to make a point: Unless the federal government is willing to pay top dollar to preserve the land, they have no claim on it.

MONTROSE, Colo.—The luxury home that Thomas Chapman built on the lip of the magnificent Black Canyon here isn't just an investment. It's a provocation. Mr. Chapman, a small-town real-estate broker, has made a controversial career trading scattered parcels of private land that sit inside national forests and national parks. On behalf of his clients or his business partners, he talks up plans to develop the parcels: a subdivision at a scenic overlook, an RV park on a canyon rim, a rustic estate inside a remote wilderness area. Sometimes he even brings out the bulldozers. Environmentalists sound the alarm. And often, the government or conservationists come with money or a land swap to buy him out, saving the cherished parcel from development—and making Mr. Chapman money.
By Stephanie Simon, Oct 2, 2010 WSJ

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10/02/10 wsj 

Across the U.S., Long Recovery Looks Like Recession, NYT

This is not what a recovery is supposed to look like.

Less than a month before November elections, the United States is mired in a grim New Normal that could last for years. That has policy makers, particularly the Federal Reserve, considering a range of ever more extreme measures, as noted in the minutes of its last meeting, released Tuesday. Call it recession or recovery, for tens of millions of Americans, there’s little difference. Born of a record financial collapse, this recession has been more severe than any since the Great Depression and has left an enormous oversupply of houses and office buildings and crippling debt. The decision last week by leading mortgage lenders to freeze foreclosures, and calls for a national moratorium, could cast a long shadow of uncertainty over banks and the housing market. Put simply, the national economy has fallen so far that it could take years to climb back. The math yields somber conclusions, with implications not just for this autumn’s elections but also — barring a policy surprise or economic upturn — for 2012 as well.
By Michael Powell and Motoko Rich, Oct 12, 2010 NYT

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Making Money Off The Rich, NYT

"Studies indicate that spending by the rich is closely correlated to the value of their portfolios... I've been working the luxury angle throughout the recession, so far to good effect. The LVMH Moët Hennessy Louis Vuitton shares I bought back in January 2008 are now showing a gain of over 40%. Tiffany and Sotheby's, two stocks I recommended last year, have been on a roller coaster, but both are showing solid gains in 2010."

From the canyons of Manhattan to Beverly Hills, Calif., debate is again raging over the rich. Should we soak them by raising their taxes? Coddle them by extending their tax cuts? And who really is rich, anyway?The debate is likely to continue beyond the midterm elections. Rather than get all worked up over it, I have a simple proposition: Why not sidestep the political issues and make some money off of them? It is a strategy that can work for virtually any income bracket, considering that one share of Tiffany (about $47) costs less than even the cheapest silver key ring at the luxury chain's flagship Fifth Avenue store. There are other factors favoring companies that cater to the wealthy:
By James B. Stewart, Oct. 2, 2010 NYT

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