Oil taking toll on Gulf Coast property owners

[NNN0LHI]

http://www.msnbc.msn.com/id/37000531/ns/business-real_estate/

Some vacationers canceling summer rentals amid uncertainty over spill

By Bill Briggs
msnbc.com contributor
updated 4:07 p.m. CT, Fri., May 7, 2010

As floating globs of oil begin to come ashore on the barrier islands off the coast of Louisiana, real estate agents and homeowners along the Gulf Coast are bracing for a potential and perhaps devastating drop in property values.

Already some owners are seeing cancellations stemming from the uncertainty around the size and scope of the oil's impact, and hurricane-hardened residents inevitably were raising comparisons to devastating storms of the past.

In Gulf Shores, Ala., property owner and manager Greg Miller said that while he weathered hurricanes Camille and Katrina, the damage from those two monster storms "pales" in comparison to the beating his business has been taking since an underwater gusher was unleashed by the April 20 rig accident in the Gulf.

On Monday alone, he lost more than $70,000 in summer rentals as vacationers called to cancel planned one-to-two-week stays at his luxury, beachfront homes that were scheduled for as far out as September, he said. Miller, owner of Fort Morgan Realty and Development Inc., estimates the oil catastrophe may cost him $300,000 to $400,000 in business. And, so far, his insurance carriers are telling him they won’t cover his diminished revenue.

[onethatcares]

1. I was wondering when the folks that owned expensive waterfront property

were going to start wanting the taxpayer to chip in to help them out. The same folks that wouldn't let you or I walk on "their" sandy beaches will now want our tax dollars to replace what they lose.

Meanwhile those that have lost their livelyhoods are going to have a tough time collecting pennies on the dollar.

[ScreamingMeemie]

4. "owned expensive waterfront property"

One, many of the "expensive water front property" owners are not rich. For many, the land was handed down.
Two, even if they were wealthy, which I am sure some of them are, they deserve scorn?

What the hell happened to DU?

[Dappleganger]

6. I chalk this one up to ignorance.

They've never been there and have no idea what it's all about.

[onethatcares]

7. I apologize.

my only experience with folks that own homes on the waterfront are here in sunny Floriduh where they have paved paradise and put up a parking lot.

Most of the homes in my area like that are what I would call mcmansions and many of the owners would like the little people to go away, get off their beach, and stop looking at their places.

mea culpa, big time.

[Dappleganger]

8. I'm in FL too.

The Panhandle is a bit different than many other areas of FL. We have a mix of those McMansions interspersed with the older beach/fishing cottages that have been around forever.

We have our Ponte Vedra folks, they effectively laid claim to the entire NE Atlantic and cut off access to the public whenever possible, the mofos.

[DemoTex]

2. My brother and his partner have a house on the Gulf coast ..

The only thing that keeps their spirits up nowadays is the possibility of seeing (their names) v. Halliburton Corporation on court documents.

[NNN0LHI]

3. My uncle has one down there too

He has been trying to sell it for five years and move back north with no takers. And he is cheap so he wasn't about to sell it for less than he paid for it. He was waiting for the property values to go back up. I think he can stop waiting now.

He gambled and lost.

Don

[Dappleganger]

5. It's so beautiful there, too.

Think of the property managers who are getting cancellations...these are working blokes, too. Think of all the little shops, restaurants, etc. who depend upon the tourist dollars. FL really needs to diversify our economy more.

[bunny planet]

9. my property is not right on the Gulf - but 5 minutes away

and I am saddened and sickened by what is happening to the gorgeous place I grew up - not even focused on the loss of my real estate value at the moment - much more concerned about the loss of life and livelihoods there and the innocent wildlife destroyed

However, when Rush's property becomes worthless too.....then we'll start seeing and reading about the outrage all the rest of us feel already