Finding Upside in Real Estate’s Downturn

By Ben Steverman - 2011-09-27T18:19:45Z

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Profiting From Patience

Hospitality Operations owns five hotels in south Florida and Bernard Wolfson, its president, spent most of the last decade looking for a place to build a sixth. "We couldn't find any land that made economic sense," he says; condo developers had bid up prices. It took an historic real estate correction to send a deal his way. In 2007, a Miami developer gave up on a condo project, selling Wolfson a lot for $6.2 million that previously might have sold for up to $17 million. When the recession deepened and more projects were canceled, Wolfson found construction costs much lower than expected. The company will open a 221-room Hampton Inn & Suites hotel on the site.

Photograph by Getty Images
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