Foreign Investors Plot Suburban Residential Takeover Through Loudoun County

[mystery-ak]

Foreign Investors Plot Suburban Residential Takeover Through Loudoun County

Breccan F. Thies 6 Dec 2022

A foreign-owned private equity-backed rehab corporation is attempting to turn suburban America into luxury commercial rehabilitation facilities.

Newport Healthcare, which is primarily owned by the Toronto-based private equity firm Onex Partners, seeks to purchase suburban residential land in order to house patients and operate its rehabilitation centers in American neighborhoods.

One of the company’s attempted footholds is Loudoun County, Virginia — a wealthy suburb of Washington, DC, where the granting of permits could set precedent for other suburban neighborhoods, forcing families to live near treatment facilities for substance abuse, trauma, and other issues.

Residents are concerned that such commercial use in their neighborhoods would result in “opening Loudoun residential zones to this corporate misuse, negatively impacting home values, private equity acquiring more family residences, and fundamentally changing the neighborhood with commercial-level traffic, noise, risk of runaways, emergency service calls, and public disturbances that are reported around their other locations.”

Newport has acquired a subdivision of three single-family homes as well as ten adjacent acres of land, totaling a 25-acre facility, in Loudoun County.

The company attempted a similar arrangement in the wealthy McLean area of neighboring Fairfax County, where zoning officials denied requests to convert the residences into rehabilitation facilities.

more
https://www.breitbart.com/politics/2022/12/06/foreign-investors-plot-suburban-residential-takeover-loudoun-county/

[Wingnut]

NIMBY.

[catfish1957]

Strange timing, considering interest rates and demand are getting ready to sink the real estate market.

[Kamaji]

Strange timing, considering interest rates and demand are getting ready to sink the real estate market.

Not really, if one considers that this will basically be a machine for milking private insurance, medicare, and medicaid.

Also, since the investor is Canadian, the funding is likely coming from non-U.S. sources, so the U.S. domestic interest rates won't really affect their investment.

[catfish1957]

Not really, if one considers that this will basically be a machine for milking private insurance, medicare, and medicaid.

Also, since the investor is Canadian, the funding is likely coming from non-U.S. sources, so the U.S. domestic interest rates won't really affect their investment.

Guess it depends on how lucrative the businees model is.  From a glance at the article, I could conceive $100M's of capital loss. at the crash.  But OTOH, they could amoritize/depreciate  it as net loss, and make it work.

Plus I am not sure how much advantage a foreign entity might get in a tax shelter.