[gfmucci]

Originally Posted by Midge538

The overly ambitious plan to go on building through 2014, in a softened economy and a dramatically collapsed real estate market, has the developer facing tremendous and mounting carrying costs for all of those unsold lots and spec homes that we see.

Take a look at this piece of news about the Florida real estate market: http://money.cnn.com/galleries/2008/...x.html?cnn=yes
Look at the 5-year real estate price trend - UP 50 to 90% over the past 5 years ! INCLUDING the most recent period of "the dramatically collapsed real estate market."* TV has a multi-dacade horizon, especially for bonding the infrastructure through the Community Development District bonds.*

There is one especially critical item they need to monitor closely.* Somebody has to pay the bond debt over the period between financing the infrastructure, and passing on the debt to the ultimate home buyer/consumer.* Who is that?* If sales are significantly below that needed to absorb the bonded debt, what happens?* Do the investors in the bonds get whacked?* Does some entity "guarentee" the bonds?

[villages07]

GF,

I believe the developer is paying for the infrastructure debt for that portion of a CDD which he still owns. So, in a new district, the developer is paying all the carrying costs until buyers start moving in, then his share (and his influence on the CDD board for that district) diminish over time until it is fully sold out. Developer reps on that CDD board eventually give way to all homeowner reps.

I don't know this as a solid fact...but, I did look at some budget docs at one time for un- or underdeveloped districts and it showed the developer paying costs for the lots he still owned.

V07

[jjdees]

The real estate market around the country is incredibly slow. The R.E. markets are mostly localized with some in bound relocations among the local buyers. The Villages draw buyers from the entire country plus Canada, the UK and God knows where else. When compared to the rest of the country, TV slowdown is minimal.

[beady]

RE: New sales office for New and Resale. TV opened one in the Mulberry Shopping Plaza about a month ago ????? No new building going on here?

[DickY]

Originally Posted by villages07

GF,

I believe the developer is paying for the infrastructure debt for that portion of a CDD which he still owns. So, in a new district, the developer is paying all the carrying costs until buyers start moving in, then his share (and his influence on the CDD board for that district) diminish over time until it is fully sold out. Developer reps on that CDD board eventually give way to all homeowner reps.

I don't know this as a solid fact...but, I did look at some budget docs at one time for un- or underdeveloped districts and it showed the developer paying costs for the lots he still owned.

V07

I attended the CDD orientation today and that is how I understood the infrastructure debt works, just as 07 wrote.

[chuckster]

Kahuna, excellent post, especially regarding the uninformed posting unfounded messages.

[Muncle]

Originally Posted by Villages Kahuna

1. The new hospital which has been approved has a Wildwood address, but is nowhere near where we think of as Wildwood. The proposed new hospital is a 40-bed acute care facility which will be located on Rainey Trail (CR 472) roughly directly south of The Villages High School.

I admit that I'm a bit confused re hospitals. As you cited from today's paper, one is being built on 472. My first reaction was that this was the one referred to in yesterday's paper and I was, to say the least, underimpressed. But in looking as bit closer, I noted that the 472 hospital takes up 7 acres, while the one approved in conjunction with Brownwood comprises 51 acres. That's gotta be more than the Promise Hospital facility. Now I'm no denigrating the Promise place --- sounds like something we could use --- but it would be nice to have a much bigger facility down south. I'll be interested in seeing more information as it comes out. Russ, if you heard anything while interviewing, let us know.

Promise Hospital article: http://www.thevillagesdailysun.com/a...villages01.txt

[The Great Fumar]

Brownwood is right on schedule. Developer applied for 240 new permits this month...........Two area's have reached 466A as we speak.......

Not to worry , The man with the 430 million dollar corporation knows what he is doing............

Fumar

and that includes the cattle grazing south of 466A

[captain1202]

An advantage the TV Developer has over other less established developers is "Crtitical Mass". I believe they've got lots of opportunities for cash flow even if they didn't sell a home for a year.

If, however, they should go belly up tomorrow, I believe it would have little effect on the current residents, unlike to folks near the Fort Myers development who are now trying to get some basic landscaping around their properties due to the builders failure.