Monday, June 9, 2014

in Brazil I guess you don't peso much



When Greenwich Connecticut developer James Cummings ran into financial trouble a few years ago, he was forced to sell 41 west 74th Street, built in 1910.


A real estate speculator group snapped up the mortgage for $5,000,000 in 2008.


Then Paolo Gouveas, a Brazilian oil executive, bought the neoclassical house — reportedly in all cash — in 2011.

sotheby’s


According to public records he paid $12.5 million, not a bad profit for holding the house for just three years.

sotheby’s

Developer Cummings had meticulously renovated the five-bedroom, seven and five half-bathroom, six story mansion, and so buyers were willing to pay top dollar.

sotheby’s

But Gouveas wanted more fun in the house so he added a rooftop hot tub and a grill, plus a gym and wine cellar in the basement.

sotheby’s

Then Gouveas tried to sell through Southeby’s for a cool twenty million dollars.


No go. He tried $19 million.
sotheby’s

But even 9,700 square feet of perfection couldn’t support a number like that.



He finally flipped it at $16.5.
sotheby’s

Considering his monthly payment plus the fun additions he added, Paolo’s profit was not what the speculators gained.

sotheby’s

Still. 
sotheby’s

Who’s counting when your “rent” is over $100,000?

No comments:

Post a Comment