Why WeWork is the 'Enron of real estate': billionaire investor Sam Zell - Business Insider

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 17 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 10%
  • Publisher: 51%

Malaysia News News

Malaysia Malaysia Latest News,Malaysia Malaysia Headlines

Its competition is a 'plug at Starbucks': Billionaire investor Sam Zell says WeWork is the 'Enron of real estate' — and explains why similar models are also doomed to fail

"What was WeWork's competition?" he said. "It was a plug at Starbucks. In other words, the guy came and he occupied a desk from you. But if things got tough, he went back to Starbucks and plugged his computer into the wall and he was in the coworking space."

"The question that I keep asking people about WeWork was: 'Just tell me the cash flows that WeWork generates — what do they come from?" he said. "Do they come from profits in other businesses, or do they come from venture capital? Which in effect, doesn't have the discipline of profitability."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

A plug at Starbucks - I love it. Or at your local gym. I've seen ppl working the phones while working out on their exercise bikes.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in MY

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

New WeWork CEO Sandeep Mathrani Saved A Dying Mall. Can He Do The Same For The Coworking Company?New WeWork CEO Sandeep Mathrani is a retail real estate veteran who has tackled turnarounds before, but this could be his toughest fixer-upper. Wework , what do you guys think of WeWork medical. Offering spaces for providers and copay services for independent contractors through an insurance program. This would add more diversity to the insurance market and certainly create an interesting business model.
Source: Forbes - 🏆 394. / 53 Read more »

Investing Insider February 4: Expert advice, real estate, art shares - Business InsiderInvesting Insider is your one-stop shop for high-profile investor interviews, trade recommendations, and actionable analysis.
Source: BusinessInsider - 🏆 729. / 51 Read more »