61–70 of 328 posts
Bail them out. We bailed out far worse in this lifetime for us to wince at this.
There are "660,755" restaurants in the US (according to Google), and average rent is $5,000/month = $3,303,775,000 (3 billion per month). Seems doable? Except .... did you forget about all the other places not paying rent? My guess is around 10 million of them. So "only" $60 billion or so per month. Is that affordable? Well, do you want to pay that in taxes?
Subsidizing the restaurants without getting anything in return seems like a misallocation of capital. Allowing 'creative destruction' on a massive scale is harmful to social stability and frankly just cruel. People didn't plan for it, because it is implied in our various social contracts that they don't need to(and that may be wrong, but this is not the time to fix that). We should consider subsidizing the restaurant…
You can't end with "this isn't the time for ideology" after three paragraphs of YOUR ideology. For some restaurants, takeout is easy and they can make it work! For others, it really really isn't. What about bars, where most money is made on alcohol? You got it backward. These restaurants all presumably paid taxes and employed people, some for literally a century. Why do you expect them right now, when they're sufferi…
It's ridiculous that we couldn't coordinate a rent/mortgage forgiveness plan alongside all the customer bans put in place across the country. If a restaurant can't stay open, they shouldn't pay rent. If the property owner isn't getting rent, they shouldn't have to pay mortgage. And so on, up the entire chain.
It's ridiculous that we couldn't coordinate a rent/mortgage forgiveness plan alongside all the customer bans put in place across the country. If a restaurant can't stay open, they shouldn't pay rent. If the property owner isn't getting rent, they shouldn't have to pay mortgage. And so on, up the entire chain.
It's ridiculous that we couldn't coordinate a rent/mortgage forgiveness plan alongside all the customer bans put in place across the country. If a restaurant can't stay open, they shouldn't pay rent. If the property owner isn't getting rent, they shouldn't have to pay mortgage. And so on, up the entire chain.
It's ridiculous that we couldn't coordinate a rent/mortgage forgiveness plan alongside all the customer bans put in place across the country. If a restaurant can't stay open, they shouldn't pay rent. If the property owner isn't getting rent, they shouldn't have to pay mortgage. And so on, up the entire chain.
Earlier quoted context omitted.
The investment component of being a landlord is the value of the property. The ability to enforce contracts, e.g. that when a tenant promises to pay they must pay, it not part of the investment component of being a landlord. That is not an investment, but rather a contract between two parties. Rent is revenue. Investment is based on the value of the underlying asset. They are not the same thing. Our society has alway…
You keep saying this, but is the value of the property not what someone is willing to pay for it? If nobody can/will pay rent, the property is worthless. The risk you take on as a real estate investor isn’t just that of the property value, it’s also the risk of not having a tenant. If you have a tenant, they can’t pay, then they leave and you can’t find another renter for a year, you’ve made a bad investment even tho…
At first these rent forgiveness measures were supposed to last a few months. Now we are nearly in the 10th month of the pandemic and these measures are being renewed. There are tenants who have not paid rent since March. Most landlords would rather have no tenants at all, than have tenants who do not pay rent for almost a year yet force their landlords to continue to provide for them by paying for maintenance, and insurance, and property tax, and the mortgages.
It's ridiculous that we couldn't coordinate a rent/mortgage forgiveness plan alongside all the customer bans put in place across the country. If a restaurant can't stay open, they shouldn't pay rent. If the property owner isn't getting rent, they shouldn't have to pay mortgage. And so on, up the entire chain.
What's at the top of the chain though?
It seems like it could have all sort of just been put on 'pause' for the duration of the pandemic.
Earlier quoted context omitted.
There are "660,755" restaurants in the US (according to Google), and average rent is $5,000/month = $3,303,775,000 (3 billion per month). Seems doable? Except .... did you forget about all the other places not paying rent? My guess is around 10 million of them. So "only" $60 billion or so per month. Is that affordable? Well, do you want to pay that in taxes?
Let's walk this forward some. Restaurants provide jobs, probably 20ish jobs per restaurant. If every restaurant closed down, that's something like 12 million unemployed people who can no longer find employment at those restaurants. Some of those employees might even make enough money to pay taxes and not get their tax money back. What do you think the solution is, rather than just slamming someone's theory on what to…
Those unemployed cooks and wait staff won't be unemployed for long, and perhaps throwing money at commercial rents isn't the best way to help them.