Yes, we (still) have no bananas
The group that was trying to put together a community-based company to run a market in the empty retail space in the condo bunker at NE 16th and Broadway in Portland has failed to raise the capital it needed to activate a lease on the space. They're refunding the money they've raised so far, according to this story in today's O.
They say they'll be back, and I hope they are. I also hope they come up with a slightly more sophisticated capital campaign than going door to door in the neighborhood, seeking $1,000 investments based on a porch flyer.
| Posted at 7:43 AM | Permalink |
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Comments (4)
Perhaps a Tram Ticket Tax would help?
Posted by Abe | December 6, 2006 8:28 AM
Next up, the inevitable class action lawsuit from residents who were promised a Zupan's, and who will now probably end up with a chain pet store.
And, of course, this underscores how risky it is to move into a building that has unleased retail space (particularly large spaces, unsuitable for small businesses) on the ground floor. The developer's loyalty to you will last exactly until the moment you've signed the purchase agreement.
Posted by Dave J. | December 6, 2006 8:55 AM
This is probably for the best. As I recall, the prospectus stated that the promoters would get something like $50K salaries, which seemed unrealistically high for a business with a slim chance of ever making a profit. I would hate to have seen all those folks lose their money.
Posted by jim | December 6, 2006 9:44 AM
And what happens to them legally regarding the lease they signed?
Posted by Jon | December 6, 2006 12:35 PM