Sunday, April 18, 2010

Welcome to the Hamptons and the shift to development

It appears the Hamptons are in high blast this year. Call them rentals as I read in many newspapers. Call them new purchases. The truth is that there are just many more people here than this time last year. My wife and I had some friends out for the weekend and we went out to Westhampton and everywhere was packed. That means there is much more discretionary income around because spending time at a second home community sure means you aren't working (unless you are like me and work here). So this tells me sales are going to start moving (there is a lot of inventory, but discretionary money helps it move), there will be more rentals, and here starts the renovations. I really hope we can start talking on this blog more about development and less about foreclosures because of this news.

On a foreclosure note, please remember that after a foreclosure auction you cannot stop the foreclosure, its already happened. My firm just had a consult on Friday where we were asked why we couldn't stop a foreclosure that was already bought at auction. The fact is that all you can do after an action is either have the foreclosure judgment vacated (undone), which is challenging, or buy the property back from the auction purchaser. So foreclosure defense is only about pre-sale. Post-sale we are talking about challenging jurisdiction or some other obscure tactical maneuver. To be sure, my firm offers these services too, but they are much riskier and usually cost more. The moral is don't wait to hire a lawyer until after the sale, its bad enough if you wait months after being served, but this is just too long. The best thing to do with any lawsuit is to speak to a lawyer asap. Hope this clears up a few things.

Now onto development, has anyone else noticed the abundance of 55+ communities popping up around the east end? I have been told in business to never open a candy store in a town unless there is already one, this lets you know that the town can support a candy store. So without doing market research it seems that the demand for 55+ communities on long island is high and the target location for 55+ individuals is slightly calmer, more beautiful, and further from the city. Interesting. During the next few weeks I am going to focus a little time to 55+ communities and some things that make them unique for any aspiring developers out there, opportunity is knocking.