Quote:
Originally Posted by Bingo
10% is a pretty standard downtown Calgary capital hurdle for today. It was 15% as early as three years ago. I doubt prominent Calgarians would be that much different on their own holdings as they have access to investments that suggest it should actually be much higher.
Don't think anything is rigged. The model was run to solve for an unknown using a possible outcome of zero profit on 10% NPV, which to me is a logical starting point.
I'm happy to run any version of the non hockey related revenue though.
Have seen cost over runs on the building suggesting $600M on a few occasions.
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I also think that the 10% discount is too high. I'd like to see it at 5% tops.
Maybe you remove franchise appreciation from the model in return?