“The purchases are the fifth and sixth properties that Forsgren owns and plans to rent.”

“Don Forsgren has heard pundits speculate that Vancouver home prices will drop by as much as 40% during the next five years – but he’s not having any of it.
The Intracorp Canada president recently committed to buying two units in his company’s MC2 development near southwest Marine Drive and Cambie Street. Another 18 units in that project have sold to insiders while the remaining 425 condominiums will be made available October 27 to the 6,500 people who have registered to be eligible buyers.
The purchases are the fifth and sixth properties that Forsgren owns and plans to rent.
“Vancouver has a good base level of demand from immigration and population growth,” he told Business in Vancouver. “That’s not going to change over the long term, so we’re quite bullish about the prospects of the market from a stability point of view.”
That bullish sentiment is clear from the spate of Metro Vancouver housing projects that Intracorp has in the works, many of them near transit hubs”…
“Our target is to do about 1,000 homes each year in Vancouver and about 500 in Toronto. We’re on track to do that in 2012, 2013 and 2014.”

– from ‘Don Forsgren: Home maker’, Business in Vancouver, 23 Oct 2012.

We suspect that, unlike the case of the man-in-the-street investor/speculator, the housing market could tank and Don would still be fine despite his advertised RE holdings. Those 6 units are surely purchased cheap, and likely represent a risk of only a small percentage of his net-worth. A bit like a chef dining at his own restaurant, a clothing chain CEO wearing his own suit brand, or a car dealer driving his own stock.
– vreaa

10 responses to ““The purchases are the fifth and sixth properties that Forsgren owns and plans to rent.”

  1. Anyone hear how many people turned out for the “grand opening” of mc2? They certainly had enough tents and attendant idiots trying to parallel park on that death trap part of Cambie. They city is creating a total horror show on that busy intersection: lots of car traffic; no flyovers for Canada Line pedestrians to avoid the crosswalks, too tight turning radius’ for busses coming out of Marine Drive station and so on.

  2. Some people can afford to lose money and account for it in creative book keeping.

    • Indeed, TNT… apropos FictiveForsgren’s MarketTubThumping… who better to provide a little light musical accompaniment on a ColdWetSaturday than…. ErnieTubb! …featuring his EverPopular&TimeLess rendition ‘o, “So Round So Firm So Fully Packed*”!

      “Just ask the man that owns one!” – Ernie Tubb

      [NoteToEd: * that would be Forsgren’s wallet]

  3. 4SlicesofCheese

    Do real estate agents count as the “18 insiders”, if not that is not a true picture.

  4. Agreed

    It’s interesting they reference the 6500 as eligible buyers, I mean how do they know they are eligible or can get financing? Those lists they create are typically people who see the ads for incentives to buy but have to leave their name to even glance a floor plan

  5. Just drove by an hour ago and there was a line-up of the gullible standing in the rain, waiting to get in and see these. WTF?

  6. Or he says he bought them but what he and the “insiders” really do is turn around and resell them to the 6,500 people registered to buy the other 425. Of course he’ll be bullish and even go, “Here, look, I use this product, too,” because they have 425 units to unload still. They depend on the presale demand.

  7. or drinking his own koolaid

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