Bill Gates in low-ball land-shopping spree?
Tags: Bill Gates, Cascade, celine dion, Jupiter Island, Justin Hance, Kirkland, Martin County, Palm Beach, Rob Thomson, Warren Buffett, Washington, Waterfront Properties
| Friday 24 July 2009 1:01 pm
Gates
Here’s the good news: Multi-billionaire Bill Gates may be shopping for waterfront properties in Martin and Palm Beach counties, with $65 million to spend.
Here’s the bad: His peeps are low-balling the pants off sellers.
A wet-behind-the-ears analyst with the Seattle-based Cascade Investment, Gates’ investment arm, signed contracts on three luxury cribs on Jupiter Island and two in the Town of Palm Beach over the past two months. A real estate source said he brandished papers showing the availability of a $65 million line-of-credit.
The youngster, Justin Hance, 25, claims to be with the firm Front Range Investment in some cases and Lake Clarke Holdings in others.
But here’s the Fact: Hance’s office is at the Kirkland, Wa., headquarters of Gates’ Cascade. The richest man in the world reportedly sunk half of his $40 billion fortune into Cascade, to diversify into ventures other than his Microsoft. Also involved in Cascade is the world’s second richest man, Warren Buffett. He weighs $37 billion.
Hance didn’t return several calls. But according to MLS listings, Front Range paid $5 million July 13 for a 5,000-square-foot home at 100 Harbor Way, on Martin County’s Jupiter Island. The Intracoastal property, which is surrounded by sea-grapes and mangroves, had been on the market for $12 million then $7 million.
It doesn’t seem, however, that Jupiter Island will see either Gates or Buffett anytime soon. Already, the property has been put on the rental market, at a monthly season tag of $50,000-a-month.
The richest men in the world eyeing local land? You need more. And the poll. Look below, or click
The seller of the Harbor Way home, Jeff Gelman, said Hance played it close to the vest. But a Google search exposed the kid.
“We figured we were dealing with Bill Gates’ people,” said Gelman, a developer who also sold Canadian songbird Celine Dion her Jupiter Island property.
But there’s something else Hance played: hard ball. And his tactics, Gelman said, caused the other sellers to pull out and void the contracts. Gelman was the only one who sold.
“I had to sell, I was done with the place,” Gelman said.
With the five homes under contract with no deposit, Gelman said, Hance returned a couple weeks before closing and changed all his offers at once. Gelman’s home went for $5 million, half a million lower than what was previously agreed to.
“He even wanted to know if there was Chinese drywall,” Gelman said. ”It was one thing after the other. My house has an indoor pool with a $135,000 movie theater that piped the sound underwater. I offered to sell the thing for $30,000 and they offered $10,000. So I took it with me.
“In my 25 years in selling luxury homes to famous people, this was not one of my favorites. And it can’t be good for the market.”
Another potential seller, Stuart’s Steve Earsley, reportedly agreed to sell two Jupiter Island properties to Hance’s boss. Hance returned with a much lower offer, and the sale was cancelled. Earsley didn’t discuss the numbers although the properties are currently listed for a total $20 million.
“Things are probably done differently in Washington,” Earsley said.
Waterfront Properties‘ Rob Thomson, the listing agent for the properties eyed by Gates’ people, declined comment about the buyer. But, he said, it’s a good sign for all sellers.
“This is clearly a sign the market bottomed out,” Thomson said. “We haven’t had investment firms buying here in two years.”
No spokesman for Cascade responded to interview requests.
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It’s not business when you have an agreement and then you super low ball afterwards. Just like people who sign a damn contract then try to get out of it. What happened to a deal being a deal?
Oh boohoo!, the dumb rich people who made bad investments in with people like Madoff and dumped money into inflated properties for snob appeal are getting screwed by the smart rich people like Gates who actually make things for a living and have piles of cash on hand. Cry me a river!
Gates may be a vulture but I admire his willingess to put money into this market. It will be rich productive people like gates who save this economy not the socialites in palm beach.
[...] http://www.page2live.com/2009/07/24/bill-gates-in-two-county-mansion-shopping-spree/The richest man in the world reportedly sunk half of his $40 billion fortune into Cascade to diversify in ventures other than Microsoft. Also involved in Cascade is the world’s second richest man, Warren Buffett. He weights $25 billion. … [...]
nobody but nobody does more underhanded things in business then the business community and legal community of florida, i mean comeon, they make movies about it, maybe nigeria comes in 2nd, but florida is the most underhanded place i have ever seen, from 12million to 5 million is the real story, on the water in jupiter island selling for real cheap
[...] Palm Beach & South Florida gossip & celebrity news | Jose … reddit_url=’http://www.baby-parenting.com/articles/todays_news.php?ccSID-7ca89b469f29e99d131f68a001c091d1=524586557658060177819a522d8e284c’ reddit_title=’Parenting, Pregnancy & Baby News for Saturday 25th of July 2009′ [...]
Half of the comments written are retarted. I know Bill and he is like me but he does what he does honestly. As for the 25 year old realtor working for him, kodo’s to him. Justin Hance know the market here. It is still 26% overpriced. Markets will always be corrected in time.
Yes, I have a computer and TV where I check my oversea’s accounts. People please be kind to my wife.
[...] http://www.page2live.com/2009/07/24/bill-gates-in-two-county-mansion-shopping-spree/Pingback by What others have been saying about celebrity weights at The Dirty Pool — July 24, 2009 @ 3:05 pm. [...] http://www.page2live.com/2009/07/24/bill-gates-in-two-county-mansion-shopping-spree/The richest man in the world … Categories: Uncategorized Posted By: missyredman Last Edit: 25 Jul 2009 @ 01 57 AM Email • Permalink Previous Responses to this post » (None) [...]
[...] it Bill Gates? The world’s richest man sent minions with bags of money to this area to buy homes, but the minions have consistently tried to lowball [...]
If ever there was a predatory bottom feeder, Jeff Gelman is surely it. How ironic to hear him complain. He has been flipping property on Jupiter Island for years. How amusing to hear speculators, like Mr. Gelman and Mr. Earsley, whine about being squeezed.
[...] Gates, meanwhile, seems to have a thing for the area. In 2009, reps armed with a $65 million-line of credit fanned out in Palm Beach and Martin counties to find bargain waterfront real estate. One of Gates’ investment companies, Cascade Investment, eventually purchased a $5 million house in Jupiter Island. [...]