Welp, we're screwed again

Hi Lee-
Well, I guess the difference between my naive self and you is that I'm willing to get involved and try to do something about it. As opposed to saying it is doomed to failure, I know all the answers, and rather than trying to step forward and help, I'll just type blogs and condemn the whole process before it starts. Now that's constructive!!

Oh, one correction....you were invited to the second meeting (I called you either the day before or earlier that day) but you didn't show up until the meeting was over.

 

Key issue here is the word "profit".

This road can be bought and sold many times over with the buyer taking out debt to finance the acquisition. The interest on that debt goes as an expense against the road and reduces the "profit" so the owner gets to keep increasing the tolls to cover the "lost profit". Also, who has anything to say whether or not the interest rate on the debt is reasonable. It is very possible that related parties own the debt and the road and are effectively paying themselves. It is possible that the VA State Government considers this fact when they look at the profitability of the road.

From Wikipedia - "The road was privately built and is not a public asset. The current owner is "Toll Road Investors Partnership II" (TRIP II), which is a consortium of the Bryant/Crane Family LLC, and Kellogg Brown & Root (KB&R). On August 31, 2005, Australian firm Macquarie Infrastructure Group announced that they have paid $533 million to TRIP II to acquire its 86.7% ownership of the Greenway, and is negotiating with KB&R for the remaining ownership rights".

If you look at the Macquarie website (http://www.macquarie.com.au/au/mig/management/investment_portfolio.htm) you can see the current profitability of the toll road and the fact that they have sold 36.7% of their interest to someone else (probably another investment firm in the same family). It is very interesting that traffic on the toll road has decreased by 6.4% but revenues have increased 21.5% with an increase in cash flows of 45.7%.

Macquare says on their website that their 50% ownership in the toll road is worth over $446 million so that since the initial investment in August 2005 the "fair value" of the toll road has increased from $615 million to $892 million.

Guess how that fair value of the road went up by $277 million or 45% in the past two year....that is right by us driving and paying the higher tolls. If we did not use the road then the revenues (and fair value) of the road would drop dramatically. Problem you would have is that for anyone using the road the owner would have the right to keep increasing the toll to ensure their "profit" is made.

Finally, think about the trend above with decreasing volume on the road at the same time as increasing tolls and revenues. This has very significant impact on cash flows since fewer cars are on the road reduces maintenance costs and gives a double benefit to cash flows. This is evident by cash flows going up 45.7% even thought revenues only increased 21.5%.

We are in a total no win situation here.

 

Found the other owner....


From http://www.macquarie.com.au/au/mig/asset_portfolio/us/dullesgreenway.htm

"Nature of the investment - The Dulles Greenway concession is owned by TRIP II, a limited partnership. In September 2005 MIG invested US$533 million to provide loans against and hold options over 86.7% of TRIP II and acquire 100% of the General Partner, Shendandoah Greenway Corporation. The General Partner has day to day responsibility for the management and operation of the concession. Later in September 2005, MIG also acquired a 13.3% direct equity interest in TRIP II to hold a 100% economic interest in the Dulles Greenway. In December 2006, MIG completed the sale of 50% of its economic interest in the Dulles Greenway to Macquarie Infrastructure Partners (MIP) and subsequently MIG holds a 50% interest in the Dulles."

Basically Macquarie in some capacity owns 100% of the Greenway and is buying and selling interests to other Macquarie entities.

If you read through this, they are putting debt into TRIP II (which they own 100%) which causes the interest to be a direct cost of the road and therefore the underlying profitability. They are able to write themselves a check for whatever interest they want since the state guarantees them a profit....

That's it...no more toll road for me....time to get up with the chickens to go to work...

 

Cliff you made my point you invited me and as far as I remember it was not an official email. The last one you asked if I was invited after it was over. Yet you were officially invited hmmmm wonder why. Only select residents to what is supposed to be a public venue hmmm
As far as I am concerned this is not my first Rodeo as they say in Texas. I see the writing on the wall and how this is no longer a public task force but becoming a force of private interests and special interest.

Lets see the last meeting in the middle of the day and from what I read there seems to be some very interesting stories how this came about and was not advertised to the public and we are using public dollars to pay for this what is becoming a good old boys club. How much did that fancy presentation cost us tax payers and most probably would have a hard time understanding just exactly what it accomplished if they could understand it fully.

Simple again gloucester put thru to nokes pacific put thru from sterling interchange to nokes Two connections on each side of the greenway acting as collector roads to both sterling interchange and 606 just north of the airport hugging the greenway on the south side.

Lets see the task force right now has so few options for the money available, lets see retime lights ha ha please

Longer left turn lanes ha ha show me the money hell you can't even get a light at waxpool and ashburn village dr because there is no money because the prison flex builders are building by right so they don't do a thing. Is that not wonderful what you are getting from the flex buildings on waxpool that you love so much yet the regency paid for the 4 lanes of ashburn village dr and landscaped it. hmmm We also pay far more in taxes then those flex projects hmmmm yep you got to love the flex by right people they really contribute to this county yeah give me a break. Think about how much by right flex development there is around the greenway perhaps they might be the problem in getting any decent connections to 606 and 28 at sterling blvd close to the greenway as collector roads. Come on this waxpool task force is very suspicious at it's election timing and who is getting invited lately. Maybe Cliff you are also looking at this as a door to a 200,000 a year developer job like snow did or I am sorry these are not developers jobs but construction jobs hmmmmm ha ha ha Yep the more development approved no matter if they are good neighbor projects or not will line the pockets of all these so called non conflict of interest construction companies. ha ha give me a break. No thank you this is why I stay on the sidelines of the political process. Personally I believe the waxpool taskforce possibly is no more then an election ploy. Who knows???

So when is the next secret to the public waxpool task force paid by public money. Going to be held in a private office and the middle of the day again. Give me a break Cliff I smell a very very clever rat here.

Lee j

 

one of the many reasons I am blowing this popsicle stand when my daughter goes to college.

NOVA NOMORE

 

Lee, you just make this too easy for me.
The first meeting was PUBLICALLY advertised in the newspapers. I called you to suggest you attend.
The second meeting was also advertised in the papers. We also received emails. If you recall, you DID receive the invite to the second meeting. We had talked about it. I called you up to REMIND you.

One of the criticisms from the first two meetings was to get the business involved that actually own all the property where any improvements would have to be made. That's why this meeting was held during the day, and hosted by Merritt. I don't believe ANY public funds were used for this meeting.

Yes, many of the solutions are simple. you reiterate here quite nicely the solutions I told you needed to be done. The trouble is finding either the money to do it or find a way to get the landowners to do it.

Yes, it may be an election ploy, but I'm willing to take a chance on it.

You can continue to do nothing more than complain, complain, complain about everything and actually offer nothing to do anything about it. THAT is something you do quite well.

Lastly, Lee, you know me. Please don't ever insinuate ulterior greedy motives on my part simply because I invest a LOT of my own time trying to do things to better my neighborhood and my greater community. I guess you are "righteous" because you sit in your easy chair and bi**h for a living. If that's what you really think of me, don't bother calling again.
And don't worry, I won't bother offering to get you involved in something where you might be able to put your knowledge and experience to use. you're obviously too lazy to get out of that easy chair.

 

GREEDway free since June 30, 2007

 

Yep but my outspokenness always comes with solutions always starting from the big picture, never from the details.

My solutions always take in account of the neighboring people and development my solutions always think of a project from the neighboring properties and long visuals and visual corridors. My solutions are always sensitive to the people involved the way it will affect them and their property values not selfish greed that is many times thrust upon their neighbors. When people want real solutions and answers they know they can get a direct non sugar coated answer and opinion from me. I am paid very well for coming up with creative solutions to very complex problems that ALWAYS take in account of all concerned and especially what all visually see. I have a long track record to prove it.

I live in the DC area by choice and give my opinions because I believe because of my background offers a lot to solve the big picture. I have noticed from my personal observations and from my own expertise both self taught and professional many mistakes being made here that have been made in other places I could scream and I do here I have seen and have come up with many many creative solutions to some very perplexing and seemingly unsolvable situations on many occasions only because I have been around a long long time in this business.

Besides blowing my own horn I really am concerned about what is happening to this area. Example I have said those prisons walls against waxpool are going to look horrible. Reality check has my exposing this tragedy of design and bad neighbor design slowed the construction of these walls until after the election so the populace does not actually see what I see now. Who really knows could be a coincidence could be a permit situation but I know if I had 30 to 50 million on the line I dam sure would be getting that building up as fast as possible . Strange we will not see those walls until after the election. Hey could be coincidence, but I know developers try to build fast as possible to get the cash flow going.

Back to the big picture for waxpool I have already stated it from my opinion and perspective. The reasons why more flex and by right are going to destroy and slow down and hurt the vital connections along the greenway to 28 not rocket science.

I will go further I have been trying to work thru barbara and I guess thru her snow for my HOA and the two flex projects to have a dialog and resolve some issues affecting us and waxpool. So far these developers mysteriously have been either hard to get a hold of or unresponsive. I don't hide things and I can will and possibly my HOA will make this a very very public issue.

We are looking for a win win both for the developer and us. Not much to ask for especially since http://www.mrprealty.com/company_profile/mrp_fast_facts/index.ashx

is a very large company and has done some very beautiful developments. They may have the legal right to build what they are building but they are not being very good neighbors to us and the community espeacially vuisually. It does not take an expert to know that project is not a good neighbor and the worst is the small strip of land to do any landscaping to visually block them from us. Is there a win win solution you bet there is.

This is no way for a company that my guess has close to a billion dollars in projects definitely hundreds and hundreds of millions to behave to their neighbors.

Like you all say these are my own opinions what I am saying here, but I certainly can find a ton that do share my thoughts.

Cliff you are still my pal but your pal is not one to sit back and ***** without solutions

Nothing wrong with making money but making it and you make it from win win solutions is the ultimate. Simple when you build something make sure all your neighbors win too.

Ok Barbara it is up to you and Snow and I posted this here totally own my own my HOA does not even know what I have posted. Don't worry this is just the beginning on my crusade to keep Loudoun development and roads beautiful and good neighbors and then these development will even see more profit then they ever dreamed of. I am in the beginning to call it out and the solution.

Lee j

 

Nice research. I had wondered why they were sinking so much capital into an investment they claimed lost money.

Now this, in addition to improvement of the Greenway itself (lanes, more booths, etc.), "TRIP II will also build a two-lane section of Battlefield Parkway from the Greenway to Evergreen Mills Road." My toll $ are going to this?! Now it is all clear.

In addition to approving the toll increase, the Commission disagreed with their hearing examiner's recommendation (for at least the second time) to have TRIP II perform a feasibility study on distance based tolls. We can't even get a study? I'd like to know the logic on that one. It smells to me...

-Jim

 

Me too!!!!!

 

I've never heard of private toll roads either, until I moved here. Are they common? And why were they a good idea to begin with? I just don't grasp the whole concept!

 

Oh boy that is what we need more cars on waxpool ha ha ha

Hopefully Cliff and the waxpool gang can figure something out before the end of this century ha ha ha

Sorry Cliff I did not mean to ***** as you call it ha ha but I do things when they can be effective in a reasonable amount of time. Good luck waxpooling. Maybe thats the solution cover waxpool in wax and perhaps you can slide the traffic thru Sorry the real solutions can be done but not if we don't get the flex developers and others to pony up big time and quickly instead of adding to traffic without hardly paying a dime or anything at all to build roads in a meaningful way. How about just pony up for a traffice light at waxpool and ashburn village dr. hmmm

Lee j

 

Huh? Please do share...

 

Me share? I was quoting from Beahmer that I've been Greedway-free since June 30, 2007 as well. As soon as the toll increased I stopped the Greedway cold-turkey. Haven't used it since. Waxpool blows, but it sure beats forking over more than $8/day!

 

can the owners of the greedway possibly have any effect on WHY we aren't being given better reasonable options? is someone else profitting by public roads being so clogged that many are forced onto the greedway?

 

My bad. I read it as though you guys had figured out a way to travel 267 for FREE... but now I see my mistake. Sorry!

 

Interesting comment Redon1 interesting to say the least

Lee j

 

It does seem like it...that alt. roads are not being built so people would be forced to use greed way so TRIP II can make loads of ca$h.

 

yeah- and who is TRIP II paying to stall progress on public roads??? someone besides THEM has to be benefiting... and it's gotta be someone who doesn't travel waxpool during rush hour.