With his overtime goal in the Olympic gold medal hockey match, Canada’s Sidney Crosby
With his overtime goal in the Olympic gold medal hockey match, Canada’s Sidney Crosby set off a national celebration. Now the question is, can he move some luxury condos? The party that lifted Canada’s spirits also left Vancouver with a debt hangover, most of it in the form of $665 million the city borrowed and extended to the developer of the Millennium Water condominium complex where the Olympic athletes were housed.
The city put up that money when financing fell through and now needs to sell the 474 remaining units in the complex, in a former warehouse district on the shores of False Creek, at prices that are expected to range from $580,000 to $9.6 million each. That would recoup the city’s investment—raised by selling debentures and commercial paper, and tapping a credit line arranged by Toronto-Dominion Bank (TD)—and avert a cut to its credit rating. Vancouver officials hope the link to celebrity athletes such as Crosby will help juice sales. [Read the full article]
Austin-based NetSpend Corp., the innovators behind a prepaid, re-loadable debit card, reported users loading a record $1.04 billion onto cards last month, thanks in large part to corporate and payroll expansion. The private company founded in 1999 is one of handful with a successful re-loadable card model, one that has profited in the wake of financial industry collapse and customers distancing themselves from banks. The company said the cards are cheaper than bank accounts because they avoid fees. The NetSpend cards are sold through more than 43,000 retail locations. Officials also attributed the record growth to an increasing number of customers depositing paychecks, government benefits and tax refunds electronically onto the card. In 2008, the company acquired Skylight Financial, passing on its 1,000 corporate clients and partnerships with U.S. Bank and SunTrust. Also that year, it announced intentions to buy North Carolina-based Procesa International LLC. [Read the full article]