In a housing bust developers have too much land on hand.

The story

Real estate developer Donald Trump on Monday said he and other entities are bidding on land that home builders control for "pennies on the dollar." Now that home prices have pulled back in many areas, some home builders are stuck with land they bought near the housing market's peak, he said during an interview with business-news channel CNBC. However, Trump added that he didn't think any "major" home builders would go bankrupt at this point in the housing downturn.

William Jacques <> writes:

Just as we discussed, looks like the Sheet airfield owners missed the residential land market peak. There is currently a big surplus of developable land in homebuilder's portfolios, and they are desperately trying to dump it before they have to take "write-downs". The article above came out today at CBSMarketwatch. I also know of another private hedge fund that is acquiring homebuilders inventory land for significant discounts.

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