Free Market Whoring and How the Corus Failure Killed Downtown Reno



No really, free market whoring.

I'm on a road trip this weekend and have landed in Nevada for now. I'm sad to report Fitzgeralds in Reno is closed - the "Biggest Little City" sign must look depressing lit up next to a giant closed casino. They closed in November of 2008 to "make way for a boutique hotel" planned by L3 Development.

Reno Realty knows that the proposed project got tied up with Corus' failed portfolio - of all things - so now everyone is butthurt and downtown Reno looks even more pathetic and destitute than before (I haven't been in 4 years). If you recall, the Corus failure cost the FDIC $2 billion and inspired them to jump into securitized assets as a business.

The bids for the entire Corus real estate portfolio were due yesterday, and will be awarded to a single buyer in a JV with the FDIC in a couple weeks.  Then individual properties may be sold off, and Leal says he is a "potential buyer" for the Montage.  I sense that Leal’s continued involvement would play well to the masses, but less so to the existing contract holders who have been in limbo and  just want their deposits back.  A lot of them are just whiners who bet wrong, but others have some legitimate arguments. 

(Read more on the situation in downtown Reno here. Having recently been through it, I can testify it is battered, bruised, and boarded-up.)

Anyway, there is a free market somewhere. Believe it or not, you can find it in Battle Mountain, Nevada:

What are the rates for services?

All the Ladies at the Ranch are Independent Contractors who set and negotiate their own prices and activities. All prices are agreed upon through negotiation on the property with the Lady. Ladies cannot give exact prices over the phone or the internet. When e-mailing or speaking with the Ladies, give them an idea of what you would like to spend and which activities you might be interested in and they can tell you if you are in the right range.

Not all is lost. But damn, Reno is pretty much done.

2 comments:

W.C. Varones said...

22 miles? That's a lot of driving. I'd probably just jack off instead.

Concerned American said...

JDA:

Reno has been dying since the mid-Sixties. Sounds like it's about time to pronounce the patient.

Thanks for the update from the city of my birth.