Another Reason I Know the Bottom's Not In
Is this how Lennar (NYSE: LEN) hopes to ride out the housing-glut rut -- by soaking previous customers with infrastructure taxes? Let's see: Build too much, and you fail to sell everything when the bubble goes "pop," so you punish the people who helped you out and took the inventory off your hands in the first place? Why should the residents of a half-built complex shell out for infrastructure Lennar deems necessary?
Because Lennar needs something to show shareholders, I suppose. How long before we see more of a public backlash here? Will the torch-and-pitchfork crowd need to add D.R. Horton (NYSE: DHI), Centex (NYSE: CTX), Pulte Homes (NYSE: PHM), and the rest of the easy-money/no-worries housing crowd to its hit list?
Hat-tip to the Housing Bubble blog for this and other spooky stories.