innsertnamehere said:
To be clear - this building is likely going to lose a f***ton of money for its shareholders. Right now they are focused on minimizing those losses.

A completed building is ultimately worth more than a half-built hulking mass of concrete, which is why they are pushing forwards. Will they find the cash to reach the finish line? We’ll have to see.
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With the specialized construction, my assumption is that tearing down what's currently there to build something else would be far more expensive than tearing down just any standard building. And selling a property with a half-completed building on it is gonna be problematic as well, regardless of location.

This is not The Stump; this is much, much further along.
 
zang said:
With the specialized construction, my assumption is that tearing down what's currently there to build something else would be far more expensive than tearing down just any standard building. And selling a property with a half-completed building on it is gonna be problematic as well, regardless of location.

This is not The Stump; this is much, much further along.
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if they did halt construction and sell, the purchaser would likely implement a similar plan using the existing structure, particularly given its advanced state. Think about how Concord and Pemberton are basically just building Cresford's failed buildings, and those were at far earlier stages in construction.
 
innsertnamehere said:
if they did halt construction and sell, the purchaser would likely implement a similar plan using the existing structure, particularly given its advanced state. Think about how Concord and Pemberton are basically just building Cresford's failed buildings, and those were at far earlier stages in construction.
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The construction style might be a bit of an albatross then; a bit more expensive than most might want to pay for scooping up something on a firesale.
 
Oct. 23rd afternoon.

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If I'm the first mortgage lender I want to top off this nightmare asap, complete the interiors and minimize my losses. Maybe try and cancel the existing contracts and bring them to market assuming they're below it. Let all the debt behind me get wiped out and let the others chase the developer and his equity partners for losses. There appears to be no way in hell anyone behind the senior lender will ever recover a dime from this project based on what has been reported. If the junior debt objects take it to foreclosure.

I'm sure there are a dozen construction/engineering experts here who know if it's possible to top off at or close to this level but that appears to be the most prudent move for the senior debt to salvage some or most of the funds already loaned to this albatross.
 
Tesla said:
If I'm the first mortgage lender I want to top off this nightmare asap, complete the interiors and minimize my losses. Maybe try and cancel the existing contracts and bring them to market assuming they're below it. Let all the debt behind me get wiped out and let the others chase the developer and his equity partners for losses. There appears to be no way in hell anyone behind the senior lender will ever recover a dime from this project based on what has been reported. If the junior debt objects take it to foreclosure.

I'm sure there are a dozen construction/engineering experts here who know if it's possible to top off at or close to this level but that appears to be the most prudent move for the senior debt to salvage some or most of the funds already loaned to this albatross.
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I'm not sure why you're linking 'topping it off' to shedding debt or breaching existing sales contracts.

These are not inherently linked.

The Creditor process will open up the debt to restructuring; lenders will almost certainly take a haircut.

Existing contracts could be voided, but returning deposits on 675M is no small matter.

Given all the un-sold inventory here. I'm not sure that makes sense; but it would depend on how much make-up space there is if units were re-sold; in this market though, re-selling might not pay off.

The market will be different by the time this one reaches the 91st floor.

But we shall see.
 
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Tesla said:
If I'm the first mortgage lender I want to top off this nightmare asap, complete the interiors and minimize my losses. Maybe try and cancel the existing contracts and bring them to market assuming they're below it. Let all the debt behind me get wiped out and let the others chase the developer and his equity partners for losses. There appears to be no way in hell anyone behind the senior lender will ever recover a dime from this project based on what has been reported. If the junior debt objects take it to foreclosure.

I'm sure there are a dozen construction/engineering experts here who know if it's possible to top off at or close to this level but that appears to be the most prudent move for the senior debt to salvage some or most of the funds already loaned to this albatross.
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If you get a chance, look up billionaires row in New York. Four buildings sitting three quarters empty. All projects were finished over budget to the tune of 1 billion in losses. This project though mismanaged, has not hit that point yet. People who have just built a house should not tell developers how they need to build a tower
 
The historic reference in this post is absolutely on fire flew too close to the Sun and got burned

Also looking at bloors post from a few weeks ago makes me wonder if another thing that could have factored in was the choice in contractors and contract loads as staff-wise for the forming crew. Looks to be about half of any other site that I have seen. This would drastically drag out the timeline and would be something that a developer that is not used to building on this scale would make mistakenly
 
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