Saturday, August 4, 2007

Cay Clubs and Other Parasites

As if they didn't have enough problems not paying their current bills, or even beginning projects they have invested millions of dollars in, Cay Clubs plan for world domination shows very little sign of slowing down. Naturally no one in town will do anything until the time for noise making is way past, and then we will see the wailing and gnashing of teeth typical of our noisy but completely useless local 'activists'. Pitiful, really.
Cay Clubs will soon own Southernmost Restaurants, a Cay Clubs spokesman said. The restaurant group owner says otherwise in the latest chapter of a summer-long debate.

“Cay Clubs exercised their option to extend the closing date,” says Chris Brown, a marketing and advertising manager for Cay Clubs, via e-mail. “The new date of closing of the purchase of the A&B [Lobster House] property is scheduled for Sept. 24, 2007.”

Frank Rego, vice president of operations at Cay Clubs, said the acquisition and all other business operations were running smoothly, even though the company was going through a “slow period.”


“We're not going out of business,” he said. “We're not in trouble.”

Gene Smith owns the leases of Turtle Kraals and Half Shell Raw Bar, both of which are city-owned. He owns A&B Lobster House and marina complex outright, which includes Alonzo's Oyster Bar, White Tarpon and Berlin's Cocktails & Cigars. Smith said his lawyers stopped hearing from Cay Clubs' lawyers.

“I assume that things didn't work out for them,” he said.




Smith enjoys managing the properties, but said he will sell if presented with a good deal. Any such deal, though, has stalled, he said. Whoever takes over the leases for Turtle Kraals and Half Shell must maintain them as restaurants and cannot transform the property at all without approval from the Key West Bight Board.

The A&B area, including a marina, is more open to development, but Smith said he hopes any owner would give credence to locals' wishes related to any changes.

“If we had more people following the wishes of the city, we'd be a little better off,” he said.




“We're not here to do anything negative,” Rego said.

Good news for heroin addicts everywhere, the war on drugs is going along fairly similar lines as the war on terror, and to show what a simply fabulous job Prezzy Bush is doing in Afghanistan, the AP reports that the country is on track for a record setting opium harvest. Junkies across the globe tried to mobilize a party of sorts but it kind of fizzled pretty quick.

Afghanistan will produce another record poppy harvest this year that cements its status as the world’s near-sole supplier of the heroin source, yet a furious debate over how to reverse the trend is stalling proposals to cut the crop, U.S. officials say.

As President Bush prepares for weekend talks with Afghan President Hamid Karzai, divisions within the U.S. administration and among NATO allies have delayed release of a $475 million counternarcotics program for Afghanistan, where intelligence officials see growing links between drugs and the Taliban, the officials said.

U.N. figures to be released in September are expected to show that Afghanistan’s poppy production has risen up to 15 percent since 2006 and that the country now accounts for 95 percent of the world’s crop, 3 percentage points more than last year, officials familiar with preliminary statistics told The Associated Press.


Excellent job.

6 comments:

Anonymous said...

REAL ESTATE
Walkaways increase at WCI condos
Builder WCI Communities said more buyers are walking away from its condos, though the company said it is ready to withstand what it called a `protracted downturn.'
Posted on Tue, Aug. 07, 2007Digg it del.icio.us reprint or license print email
BY MATTHEW HAGGMAN
mhaggman@MiamiHerald.com
WCI Communities said 17 percent of its condominium buyers have walked away rather than close on new units this year, the latest indication of trouble in the condo market.

That's higher than the 8 percent to 10 percent rate WCI predicted at the beginning of the year.

With a record number of condo towers under construction and the housing market slumping, market watchers are keeping a close eye on how many buyers actually close on units they contracted to purchase. More cancellations mean more condos on the market, and more downward pressure on prices.

Also a builder of single-family homes, WCI is one of the few publicly-traded high-rise developers in Florida, so its reports are a rare view into an industry dominated by privately-held firms. The vast majority of the Bonita Springs developer's projects are in Florida, from Miami Beach to Perdido Key.

WCI, which reports second-quarter earnings Aug. 16, told investors Monday it expected the number of buyers backing out of contracts to decrease to about 12 percent through the end of the year because the mix of towers scheduled to close are better located and have a higher percentage of presold units.

CASH FLOW

The company said One Bal Harbour, a high-rise in the affluent Miami-Dade County beachfront town, would account for the majority of cash flow the rest of the year.

Jerry Starkey, WCI's chief executive, said the company has available cash and credit to withstand what he called ''continued weakness'' in the housing market.

WCI also said the company is not in default of any credit agreements. Still, the builder said it's renegotiating terms with lenders to ``provide broader latitude to operate during the protracted downturn.''

WCI has struggled to find its footing since the housing downturn commenced. Last year it reported revenue of $2.05 billion but a profit of just $9 million. By comparison, in 2005 WCI earned $186.2 million on $2.6 billion in revenue.

STOCK TROUBLES

Its stock price has tumbled from $24 a year ago to $6.64 at Monday's close. Company officials spurned an offer from billionaire investor Carl Icahn to buy the company, which included a plan to replace management.

After announcing in February the company was up for sale, company leaders said two weeks ago it couldn't find a buyer.

On Monday WCI said it continues ''to explore alternatives to increase shareholder value.'' But it cautioned there are no guarantees any deal will be completed.

Some observers predict things will get worse before they get better.

''Buildings yet to close from now through the middle of 2009 will see progressively higher walkaways because they were contracted later in the boom cycle when prices were at the highest point,'' said Deerfield Beach real estate analyst Jack McCabe, who has long argued that too many condos were built.

Anonymous said...

Hmmm....interesting...verrryyy interesting. Stock anyone? Six bucks a pop. Getcher fresh stocks- buy one, get one free..blue light special on stocks. Are there any lawsuits? :)I mean, people lost money, right? Innocent,trusting investors; sweet, sweet, lovely investors losing...what, 3/4ths of their investment monies buying WCI Developers stock...Holy guacamole, batman...call the authorities---call the Belt Lawfirm!!! AAAArrrggghhhh!!!! Be very afraid. Someone needs to be sued. Or go to jail...or SOMETHING...where's all my favorite critics hiding? Where's the comments...opinions...TRUTH seekers? JUSTICE agents...Anyone? Bueller? Bueller? We need to CRUCIFY... WCI!!!!! HURRY!!!! BEFORE SOMEONE ELSE GETS RIPPED OFF!!! SAVE THEM, CAYO DAVE...SAVE THE WCI INVESTORS!!!!AND THE WCI HOMETOWN VICTIMS OF THEIR CROOKED WAYS!!!!THEY"RE TRYING TO SELL THEIR COMPANY NOW!!! PEOPLE WILL DIE OF WALLET BULIMIA...I MEAN ANOREXIA!!!I MEAN REALITY!!!!!!!!! PLEEEEEEEAAAAAAASSSSEEEEEEEE!!!!!! Kerplunk. Whew, ran out of air there, for a minute. OK...I'm fine. Really. Just very nervous.

Anonymous said...

No offense intended, but I think it is illegal to post someone else's content wholesale, especially without a link back.

Here's the original story:
http://keynoter.com/articles/2007/08/03/key_west_news/news05.txt

Anonymous said...

Sam, you are right I apologize, I do usually post a link.

Anonymous said...

Not a problem at all -- I know I'd want to know if it were me.

Thanks, and I honestly didn't mean to be a downer.

Anonymous said...

There's the drugs again, Trueblood...Can anyone spell NA? (similar to AA but intended to cure other fixations). Drugs come up so often in your blogs... Why? You mention Crack, Crackheads, Heroin, Poppy seeds, etc...Is this a big part of your life to be researching this information about the crops and available supply? Yeesh.