Quote:
Originally Posted by caltrane74
Regarding 50 Bloor
If the development application is approved the value of land and air rights would cause the value of Morguards assets to increase. Eventually they will have to account for the gain in the value of the real estate.
I own a company, which makes widgets. I make the widgets in a factory and land bought for $1 dollar. Because of a change in the local development policy my factory and land is now worth $100,000 dollars. At some point I will have to make the adjustment on my books to account for the gain in order that the books reflect the true value of my assets. Otherwise I am misrepresentung my financial position.
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I think Yaletown fella thought that you meant that the value of the completed tower has been added to their books. the increased value of the land now that a 277m tall building has been approved there would have been added, but not the value of the completed tower, as it isn't, well, built yet.
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