Greg Judge from BFIM discusses Affordable Housing
Thu, 29 Sep 2011|
Greg Judge from Boston Financial Investment Management tells us about Google investing in some affordable housing.
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Automatically Generated Transcript (may not be 100% accurate)
So read the Boston Globe this morning and I see a headline it says affordable housing investment in Austin clicks per Google. And of course I know I'm smart enough to know that Google as an Internet company to search engine. And I said why would Google be involved in her real state development project. I didn't understand until I read the article it references though by the name of Greg judge who is the chief operating officer for Boston financial investment management. Greg welcome to lunch money how you don't. A very good thank you very. That they help us understand and now all of us out here in radio land why Google of all companies would be getting involved. In an affordable housing project in Austin Massachusetts. Well the the -- primary reason Google involved is that it's an investment. That makes sense for them and the investment made possible by low income housing tax credits. Low income housing tax credit. Allow Google to. Reduce the money pays in taxes. Airport increases its. Earnings. And they look at that as a good alternative to making other types of investments. And the kind of ancillary benefit that Google yet. Is what we're talking about they get on the depressed about -- in the community. So the they're gonna invest as I understand from the article about twenty million dollars is -- Correct and how much the tax credit will they get based on their twenty million dollar investment in this project Dino. I am not familiar with. They man attacked it's gonna get on that -- this particular transaction. Involved generally in the industry did not specifically with this transaction. Now the -- investing twenty million that's good news how many housing to of the units I think in a -- 240 notoriety. It's 240 units that are going to be moderate low income. So is it just attacked steel for Google or is it also a good investment for Google -- get it from a if -- -- global stockholder I'm curious insane okay. I'm I'm glad they're doing something nice for the community but I'm also more concerned that there making a good investment with shareholder money. It's both -- investment actually is a reduction in taxes so you could either Google can either spend twenty million dollars. -- -- get a return -- you or they if they can spend money that otherwise would pay the taxes. And that in itself is an investment segment they would pay taxes. So it's it's a good investment for them it's good for the shareholders to increase in earnings per share. And -- also in Google that I believe gets a nice and -- benefit of getting very the press in helping the community for running on my house and. Okay -- down at that now they. Perspective of jobs. When you create a project like this I mean 240. Units twenty million dollars I've got to believe that's -- create some jobs and -- they'll be Boston jobs in pretty good job thank. That's correcting the construction community in general has been impacted pretty severely with the downturn and you know financial meltdown last couple years. And any type of construction activity obviously had. Significant amount of destruction justice is that. Fairly expensive. Development well a lot of communities states very large peaceful land and so there are going to be be a significant number of construction jobs. The last two to three years and an ongoing there's going to be managed just eccentric. On maintaining the proper. The last -- you know boy. When they do these jobs -- they're required to hire union. Is an -- -- union workers you know. It depends on the financing. Certain types of financing require unions. -- -- Yup. And you in this one where it's unclear as to this project. I'm unfamiliar it is. This requires union trades okay. There were great thanks for explaining it to say I was trying to grasp why Google would get involved in a project like this makes little more sense now appreciate your time. Thank you very much right folks those Greg -- joining us today on lunch money you can join us every day Monday through Friday great journey and 680 WRKO.
