Monday, April 30, 2007
Posted by David Berner at 9:37 AM
Posted by David Berner at 9:17 AM
Business Week writes about how private companies such as Goldman Sachs, Morgan Stanley and Carlysle Group are buying up private infrastructure such as key roads, airports and bridges (Golden Gate for $3.4 billion and Brooklyn Bridge for $3.5 billion, for example. Cities supposedly think this is a great idea because they get money they can spend on other things.
I don't understand why this is even considered.
And odds are, you'll eventually have to either regulate these things to keep prices reasonable (at which point the companies will start shorting on maintainance) or you'll have to buy them back at a huge markup.
I've posted this item today because it makes me wonder how long it will take for Mr. Campbell to try again to sell off various roads and other British Columbia infrastructures.
Posted by David Berner at 9:10 AM