thanks for sharing Manuel Buencamino Only consider, Reader, from the point of view of the seller Gregorio. He lets go of a P450-million property (with a standing orchard of 3,000 mango trees, plus at least a house with a pool area and another house with an English-style garden, and arguably a piggery and a fighting-cock farm) for the full use of someone who has paid only P11 million. Now, if that were a normal transaction, he would have P450 million in his pocket, from which, assuming he puts it in a bank and gets a minimum of 2 percent for it, he should have been earning P9 million a year. But I am told that nowadays, with a judicious choice of financial assets to invest in, he could be getting more like 6 percent, or P27 million a year. So the opportunity cost of this deal with Anthony Tiu ranges from P9 million to P27 million a year. In the three years since he made this deal, therefore, he has already lost anywhere from P16 million to P70 million (subtract P11 million from P9 million x 3 and P27 million x 3). Why would he consent to a deal so onerous to him? Three choices: (a) Gregorio is dumb; (b) Gregorio took a shine to Anthony Tiu and decided to give this promising young man a golden opportunity of a lifetime; and (c) the whole transaction was done to save Binay’s skin: a false seller who never intends to come up with proof of ownership of the land until Binay steps down from his promised land, a false buyer who will not touch the Binay property, but rather protect it for Binay. Caretaker lang nga. opinion.inquirer.net/79578/fishy
Posted on: Sat, 25 Oct 2014 08:15:09 +0000
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