Friday, March 27, 2009

"Boring is Good!" by Richard Crenian

Richard Crenian Blogs
March 27th, 2009

“Boring is Good!”

In case you didn’t know it Canadians are boring! Canadian banks are making money. Canadians are not suffering like their US counterparts.
Canadians don’t engage in overtly risky situations and stay away from those get rich quick schemes…….
Ok , we are boring and that is good.
Good for our economy, good for our families and good for us!
CNN this morning was excited about the potential rally in the stock market this week.
So what does that mean for us, a rally?
Does it mean manufacturing is up? No.
Does it mean sales are up? No.
Does it mean speculators and Gamblers are making some money? Yes.
Let them I say, the Dow is a long ways to where they were almost a long time ago. (12 months).
I don’t know what those indexes mean in terms of job growth, and again manufacturing, or even profitability of our market place. I think it is an index of how the gamblers are doing and when they scream Blackjack! Or fold their cards and say, “BUST!”
The real index should contain jobs, manufacturing and sales and profit figures so we know how we are doing.
How is Howard doing? Great! He is still in Tucson enjoying his grandkids over the holidays. He is having the time of his life as he should. He will be back in Canada as soon as it gets too hot. (Soon I hope, we all miss him!)
Call him to see how he is doing at 4036304544, and ask him his investment strategies, on a go forward basis.

Richard Crenian

Monday, March 23, 2009

"Turn Off that TV and Start Living! Updated...." by Richard Crenian

Richard Crenian blogs
March 23, 2009

“Turn off that TV, and start living!!” Updated…..!!

Here is a blog I wrote on October 24-08……………and here is what I added since Oct 24th…….

What has happened since then:
1. Dow Jones close on that day (Oct 24th 2008) was 8378, (DJ was 7775 at today’s close Mar 23-09!)
2. Obama wasn’t President
3. We thought that 8378 DJ was the end of the world!!

So read up below!

Oct 24th, 2008
So you are listening to that doom and gloom and all that recessionary-speak has put you in a depression!

So what do you do?

Turn off that TV and start living!!

We live in a great country, where people care for each other, our social system is great, and guess what, every day above ground is a great day!

Ok so your land deals are going to take twenty years to get out of, (ok, so the kids will get to live it up!), your condo and apartment deals will take a while to get back to where it should be and your home price is probably still worth more than what you paid for it..!
Your cash flow investments will still be going well, the values of those investments haven’t gone down, and if you were lucky enough to have bought in Alberta your rents are still going up!

Look around there are many opportunities along the way. Open your eyes and look for them, they are there.

So like my partner Howard says, “Why so glum, chum?” Phone me and I will tell you a joke or two, 4036304544!!

Go for a walk, enjoy the fresh air and be glad we can walk, and breathe!

Have that TV turned to the sports channel or anything but the news! Stay tuned!!!

By Richard Crenian

Thursday, March 19, 2009

"It's Vegas, Baby ! (Update!)' by Richard Crenian

It’s Vegas, Baby (Update)

By Richard Crenian
March 19, 2009

Richard Crenian writes the best of………written in September 08, confirming what we already know, that the stock market is a jungle of hucksters and promoters. In the end our boring and safe strategy went out the window with greed. Finally we speak about my partner Howard is believes still and then that slow and steady wins the race!
You can call Howard anytime in Tucson on his Calgary number at 4036304544.

Read on McDuff!! See below.

September 29, 2008

I have been to Las Vegas, but I don’t gamble. I tried. I lost a hundred dollars and it made me sick. That was about 25 years ago. I couldn’t stand that I had lost the money so foolishly and in about twenty minutes. I worked hard for that hundred dollars and wanted to stretch it to enjoy it. I didn’t. I have not gambled since.

When my friends were investing in the stock markets, and making money in mutuals, I was happy for them. Why they asked didn’t I invest in them?
For me it was easy……. “Vegas, Baby”.

My rule was not to gamble unless it was a sure thing. A sure thing is tangible and I have control. Logic and common sense is how I like to invest, not on emotion.

A hurricane happens, and the oil prices go up. The wind blows the wrong way and a stock goes down. Russia looks at China the wrong way and the stocks go down. The USA has a banking crisis and………….?

Gold up one day, down the next. Currency up one day, down the next.
What happens when you turn 65 and want to cash in your chips? Is something, somewhere in world affecting your ability to draw your hard earn money out? Then what?

If you have the stomach for this, I applaud you.
I don’t.
I refuse to gamble with my future.

Will I have to work till I am 80? It is worrisome.

Me? Stick with my cash flowing products, stay above inflation, worry less and enjoy life more. Let the winds blow from where they may as it doesn’t affect my investment decisions.

When you buddies lament about how their portfolios are not doing well, smile, nod and think, “It’s Vegas, Baby!” And be glad you aren’t there!

Richard Crenian

Monday, March 16, 2009

"Promises, Promises!" Richard Crenian Blogs

Richard Crenian Blogs


“Promises, Promises!”

The next time someone promises you a an offer of a “guaranteed rate of return” on your money, and it is more than 8 per cent, head for the hills!!

That is a scam…………Really who offers more than 8 per cent guaranteed these days?

1. scammers
2. ponzi artirts
3. and fraudsters!!

You would think we know this for a fact now. But if greed is good, today greed WAS good. Imagine that!

When has anyone ever thought you could make a big score with your money and that indeed you need not earn your money the old fashion way, by hard work? Who would have thunk (sic) it?

Government bailouts what a joke! How has it helped you? Mutual Funds, Hedge Funds and the Stock Markets are described best by Jimmy Buffet (of Margarita fame), “Can't you feel them circling, honey? Can't you feel them swimming around? You got fins to the left, fins to the right, And you're the only bait in town!”

How you would ever put your money in with those gamblers and hucksters ever? Till the day you die? God help you if you do……

Jon Stewart (of the Daily Show )interviewed, “Mad Money Kramer” of the CNBC show…….I love it! He asked Kramer (graduate of Harvard) where he ever thought he could have recommended Bears Sterns just before it hit the dust??
Someone has to be accountable!

Be more like Howard, plan, don’t be greedy, start slow and secure and at the end the tortoise always wins the race. And Howard? He’s golfing having a nice time in Tucson. Phone him and ask him what he’s shooting these days? 403 630 4544!

Richard Crenian

Thursday, March 12, 2009

"Condos-The New Reality!" by Richard Crenian

Richard Crenian Blogs

Condo Projects-The New Reality

March 10, 2009

If you punch in Google News and go to a search of “The Donald” you will find that it has been bad for a year in condos.

I am not picking on him but just saying that he whole game plan is to sell off his name (that is smart) take all the credit (smart) and when the you know what hits the fan, he claims ignorance.

One thing he does is he promotes endlessly, claims to know all, and when the market is good he is the hero. What when it goes bad?

The Baja project that he sold the license fees for his name , investors have lost 32 million, his Chicago project he stands to lose 70 million or more, and his daughter who works for him is promoting Panama.

Panama, home of the overbuilding, empty suites that many unknown foreign speaking “out of towners” came to buy real estate with suitcases of cash.

I am not picking on him. Just saying that when the residential real estate market is going well, promoters make the money, and when the market falls, promoters fail.

Look at Howard my partner. Slow and steady, safe and secure are his mottos. He believes there aren’t get rich quick schemes without huge risk and if you invest slow but sure, with cash flow appreciating real estate, you would be ok and getting a nice return on your money.

The promoters promote. Howard invests slowly but surely and is steadfast that cash is King and cash flow lasts longer. Don’t try and sell him what’s “too go to be true!”
He doesn’t believe you. Phone him but don’t tell him he’s smart, you knows that, just bug him about his golf game. 403-630-4544. Donald, are you listening………?

Richard Crenian

Ps Below are some links and articles about the Donald you might find interesting.

“New York entrepreneur Donald J. Trump's planned 526-suit Trump Ocean Resort Baja - 30 minutes south of Downtown San Diego - is nothing but a deep hole in the ground today.

The condo-hotel project in North Baja, Mexico, could not obtain financing from a German bank to start construction.

Investors who had rushed to plunk down 30 percent deposits on suites priced from $300,000 to $3 million, are out their money.

Trump Entertainment Resorts Inc., through a Mexican entity, PB Impulsores, informed investors there were no funds to refund deposits totaling $32.2 million.

Trump Entertainment Resorts maintains a clause in the buyers' contracts gave the developer a right to spend their deposits.

Several lawsuits have already been filed in Los Angeles Superior Court.

Trump Baja condos went on sale in October 2006. S&P Destination Properties sold 188 units for a total $122 million on the first day of the sale. “

And from the Chicago Tribune…..,0,33484.story

“Trump and Deutsche filed suits against each other in November. Trump first sued Deutsche and other lenders in New York State Supreme Court in Queens, seeking to excuse a repayment of more than $330 million due Nov. 7 and extend the $640 million construction loan for an unspecified amount of time. In the suit, Trump claimed that the global economic crisis was a "once-in-a-lifetime credit tsunami" affecting his ability to sell units at the Tower and repay the loan. He also sought $3 billion in damages.

Deutsche then filed its lawsuit in New York State Supreme Court in Manhattan, claiming Trump personally owed the bank $40 million after defaulting on the loan.

Several issues need to be resolved. Among them is Trump's assertion that the minimum selling prices of the units, set in 2005 during the market's zenith, are no longer realistic and Deutsche needs to agree to lower them. Some of the building's earliest buyers are marketing units for resale at prices substantially below the prices at which Trump can sell units.

Also to be negotiated is a maturity date on the $640 million construction loan and a price by which Trump could fulfill his desire to buy unsold hotel condo units in that portion of the project. In November, Trump offered $96.6 million for those units but he acknowledged Tuesday the market has changed dramatically since his initial offer last fall.”

Lastly from the

“Ivanka Trump, daughter of US real estate mogul Donald Trump and executive vice president of development and acquisitions for the Trump Organization, has good things to say about Panama. The 70-story Panama City Trump Ocean Club is scheduled to open in 2010 with a combination of condominiums, a hotel, restaurants, retail stores and a casino, and Miss Trump was promoting the project and the country in a recent interview with Latin Business Chronicle.

“I have projects all over the world [and] have a unique sense of the global real estate climate and submarkets,” she said in a recent interview. “With great conviction, Panama is one of the strongest, if not the strongest real estate market. Our biggest problem is not having enough inventory.”

Panama is a popular property destination for international investors for a number of reasons, and has been named by several leading publications and sources as a hotspot for 2009. It is predicted to be one of the better performing Latin American real estate markets in what is seen as a difficult year ahead. Panama offers tax incentives for developers and buyers, and Miss Trump notes that the government is very supportive of developers: “I’m impressed by their forward thinking in bringing in new potential investors,” she said.”

Comment from me……….not wanting to be cynical but. “Yeah, right! I am sure the new breed will line up ten people deep…….”

Richard Crenian

Tuesday, March 10, 2009

"The Real Genius!" by Richard Crenian

Richard Crenian Blogs
March 10th , 2009

“The Real Genius” by Richard Crenian

A lot of people ask my business partner, Howard Manley, why and how we pick our shopping centers to buy and operate.

It’s really a simple model, don’t overpay and buy the tenants.

So in a recessionary time what kind of tenants don’t you want, and what do you want?

Don’t want:
Anything associated with the downturn of housing. (It sounds simple doesn’t it?)

For example, Furniture stores is a big No-No, furniture suppliers and anyone associated with appliances, car dealers, manufacturers of large household goods, boat dealers, any association to boat dealer suppliers, pretty what anyone is not buying right now, you don’t want that industry as a tenant.

Medical, Doctors, Professionals, Repair shops (cars, boats, furniture etc), movie theatres (escapism), Ma and Pa day to day daily needs. Stores promoting “green products” are hot these days, post offices, government agencies, in other words that people can make enough money to pay the rent.

Circuit City is now down the tubes, North American car dealers are shutting their doors, so common sense is always the best way to go. Doesn’t that make sense? That’s the real genius, keeping a handle on the market place, and adapting your tenancies to fit the times.

So the genius is to keep things simple and non complex. Life is easy, no. Work hard, invest in cash flow and relax in Arizona. Ask Howard, he’s planned his life that way for forty years to get to where he is. Call him; he will explain it to you. 4036304544. If you get the answering machine, you know he’s golfing!

Richard Crenian

Monday, March 9, 2009

"Land is Dirt, Cash is King!" by Richard Crenian

Richard Crenian Blogs
March 9, 2009

“Land Is Dirt, Cash is King!”

Old story with a new twist.

I ran into someone today that was talking about an accumulation of land “to be ready for development in 2-3 years” in Calgary. I laughed and said it would more than likely be five to seven years at least.

He wanted to know why? There is so much land in Calgary and area “ready for development” that even if his would come on, there would be no one to sell to.
Who would be buying land if the market for residential is not there.

There is a lot of infrastructure to put into place before the land is “ready” and there is also a cost to setting up the infrastructure. Who is going to finance it? How are you going to carry your financing and how are you going to pay for your financing?

Most people I know are keeping their lands as farming or agricultural so that the taxes are lower. Land deals do work so long as you have patience, very good patience and you can withstand the economies of time. However beware when you are not the first man in buying, if you are buying through a promoter then the land price is already inflated.

Howard and I have been in real estate for over 30 years each. What haven’t we seen? Here we are in the twilight of our careers, talking about cash flow, cash flow and cash flow.
Cash Flow is King, Land is Dirt, of course. There is no easy way to make money today, so be smart and go for the flowing of Cash. Howard is still in Tucson, he loves the hot weather and his golf game is looking good. Call him to say hi! 4036304544.

Richard Crenian

Thursday, March 5, 2009

"Ohhh, Aren't You Glad.....!" by Richard Crenian

Richard Crenian Blogs

March 5, 2009

“OHHH…Aren’t You Glad…….”

Yesterday I spoke about the robot Mutual Fund Sales People. They took their product and went forth and sold tons of it.

I wonder what is happening to our insurance companies.

Where did they invest the monies that we gave them?

Why can’t I find what they used the funds for on the internet?

Why isn’t it accessible? Biggest secret going………

Scary thought isn’t it? So we should bury our head in the sand?

Talking about sand, all those scammers that sold you a piece of the action of the land deals to be developed in three to five years are now looking at seven to fifteen years if they are lucky. Your land value……….like they say, Cash is King, Land is Dirt.
If you can’t find your Land Seller or your salesmen to explain what the value of your land is, it should be understandable. How do you say valueless?
Ohhh, those smooth talking sales guys, selling you the pie in the sky and where are they with the truth when you need it the most?

Have you heard this one, “Martha, we are buying into a land deal in Mexico!”
Right, bet it is close to the swamps in Florida. Seriously, have you heard about the travelers warnings to Mexico…….? Advised Not to Go!! (That Land deal in Mexico? Hrmphhh!)

Howard, well he advised all his clients to go into cash flowing product. Slow and Steady he says. Nothing glamorous, boring but safe. Hope you are listening, and you did listen. He was right. Not bad for a hard working boy from Midale, Saskatchewan. He beat all those so called experts, and yes he is still in Arizona soaking up the sun. Call him at 4036304544, and bug him! I do!

Richard Crenian

Tuesday, March 3, 2009

"To Market, to Market to Buy" by Richard Crenian

Richard Crenian Blogs

March 3, 2009

“To Market, to Market to Buy ……..!”

Mutual Funds, the fat pig, the one that everyone say to buy. Your friends, neighbors, financial advisors and even your spouse said buy, buy, buy.

Your banker told you to buy. Why, even transfer your retirement funds so you can “get ahead of the curve” and buy anti inflationary mutual funds. “Why,” he would say, it’s the thing to do and everyone is doing it!”

The Pressure was too much and you succumbed, and today you realize that there is no such free ride, and that the markets belong to the gamblers and the con men that have zero conscience.

When you go back to your banker and asks how your statement sits he says, “Are you sure you want to know?” What kinds of losers say that? If you live in the States, your banker may not even be there any longer. Golly, if you can’t even trust your banker whom can you trust?

The good news: BMO (Bank of Montreal) and Scotiabank-other Canadian banks made money. Again no Obama bailouts, no Canadian bailouts, good conservative Canadian banks. What does that say about government bailouts? Do they work?

I am not a huge fan of listening to Rush Limbaugh nor do I enjoy the sound of his voice but when you read his transcripts, it makes sense, of what is happening today.

Howard? I like him. He’s been my mentor and partner for over 30 years……., he’s in Tucson enjoying the weather although he told me that the heat is getting to him. (Of course he would say that, it’s March the 2nd and the windchill feels like minus 30 here!!!)


Howard, bring that warm weather home. We need you to tell your story of how you have invested in cash flow deals even when it wasn’t cool, and that conservative investments were the way to go. PS Keep Cool!! You can reach Howard at 4036304544.

Richard Crenian