Wednesday, March 28, 2007

The Housing Bubble Blog - Both Lender And Borrower Underestimated The Risks

Someone with a blog in Arizona points out some twisted logic. Downtown housing is happening. So, our mayor wants to give away free rides by lowering taxes to the elite. Meanwhile, the rest of the city gets to pays more.

Condo sales are happening without the tax break. Don't provide a tax break for some, and not for others, when the tax break is not necessary. Don't rob Peter to pay Paul. Don't rob neibhorhoods to pay for downtown. Don't rob some and give to others.

Even if this tax abatement plan is bigger than downtown, don't do it. Do it for everyone or do it for none.

Don't reward neighborhoods that are in decline. That is the type of reward that only provides benefits to the speculators.
The Housing Bubble Blog “Both Lender And Borrower Underestimated The Risks” The Pittsburgh Post Gazette. “David W. Bishoff is so pleased with condominium sales at the Carlyle, the soon-to-be-converted Union National Bank building at Fourth Avenue and Wood Street, Downtown, that he’s ready to try it again — right next door.”

“While it might seem like too much to some, Mr. Bishoff has no doubt the market can support it. ‘The question isn’t whether this city can absorb 200 or 400 or 600 or even a thousand. This Downtown should easily absorb and keep filled several thousand units,’ he said.”

“Mayor Luke Ravenstahl used the ribbon cutting to pitch his proposed tax abatement program for residential housing that is now before City Council.”

“One Carlyle buyer, Brian Ritz, likened his investment to ‘owning a piece of the Golden Triangle.’”
People are less interested in owning a piece of the Golden Triangle and more interested in owning the people who govern. Who owns the mayor? Who owns the County Executive?

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