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re: Red Lobster lists 99 restaurants closures in 28 states

Posted on 5/23/24 at 11:04 am to
Posted by BigGreenTiger
New Orleans
Member since Mar 2022
259 posts
Posted on 5/23/24 at 11:04 am to
quote:

But then it reads like the hedge fund leased the land it sold back to the company it now owns? That’s not possible.


sold to seperate entity. (same owners.) Drastically increased rent to drive up the value of the land (higher potential rental income.) Bankrupts the restaurant captures the loss. Will reacquire the land under original fund then sell the land at a profit and minimize their taxes due to a carried capital loss.
Posted by Fun Bunch
New Orleans
Member since May 2008
116841 posts
Posted on 5/23/24 at 11:07 am to
quote:

sold to seperate entity. (same owners.) Drastically increased rent to drive up the value of the land (higher potential rental income.) Bankrupts the restaurant captures the loss. Will reacquire the land under original fund then sell the land at a profit and minimize their taxes due to a carried capital loss.



The OT definitely knows better than these evil Hedge Funds on how to make money
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