Regarding the preschoolers maturity compared to Bull*&$%, would you care to comment on their comparative literacy?
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New annual low trading at 72c today :scared:
Don’t worry. Market leading and renowned ANZ instos are in this
The article does mention rising building costs. $300 mill development now costs $450 million. Wont be long that the building costs which are having exponential increases will be reflected in values of existing stock. Those wanting and needing to get into assisted living, will just have to pay up. There is no free lunch out there and OCA is not a non profit or charitable organisation.
Anyway thats what I keep telling myself, rather than have a boo boo bear attitude, oh me oh my.
Actually, I think bottomfeeder made a good point.
Of course - increased building costs do hit everybody, i.e. it can make a lot of sense to temporarily reduce building activity. Makes as well Mr Orr happy because it helps to worsen the recession he designed.
However - this means reduced supply of retirement and care facilities which will push the price up. Demand will keep rising (demographics) and supply gets throttled (thanks to Orr & Co). What do you think will be the result?
Actually its a double win - if everybody reduces building activity the earnings potential of their existing (i.e. already paid for) stock will go through the roof - i.e. all these retirement villages turn into cash cows. They can milk them and don't even need to invest into building more.
more likely i reckon is they cut costs in the building process not the rate of supply meaning residents pay for a lesser quality product at the same price. just like they do now with residential homes. quality of new builds now in quality of product and life of product compared to 50 yrs ago is terrible.