Kerrisdale Capital, a private firm founded by Sahm Adrangi, released a negative report about St. Joe Company. Headquartered in Watersound, Florida, St. Joe Company is a land development firm whose operations revolve around managing a wide range of products. Residential, commercial, forestry and rural properties are some of the products under the firm. Currently one of the company’s plans is to develop a desolate land near Panama City into a desirable area for retirees and entrepreneurs.
On the flip side, it is unlikely that St Joe Company will develop the property according to its valuation of $1billion dollars. A bulk of St. Joe’s properties is located in remote, swampy and desolate areas. This totally contrasts with the beachfront property, the firm just monetized. In order to justify the situation, the firm assumes that more than 2600 houses and 400,000 square foot of space are sold annually for 50 years. If all of this happens, St. Joe’s retirement district would be the top-selling community in the United States of America. It will also mean that more of the firm’s real estate would have been sold than absorbed in the Panhandle market.In reality, there has been minimal activity on the properties under St. Joe Company.
Furthermore, according to Kerrisdale Report, there was very little activity in terms of building requirement inquiries and any other signs of development. Sahm Adrangi, the founder of Kerrisdale Capital, went on to add that St. Joe’s Company investors have been suffering for a long time as they wait for progress. He also said that they would have to wait even longer as the firm attempts to develop the property at a reasonable pace.
Sahm Adrangi is an alumnus of Yale University from where he graduated with a Bachelor of Arts degree in Economics in 2003. Throughout his career, Sahm Adrangi has been a good entrepreneur and made a significant impact in the American corporate world. It was in 2009 that he founded Kerrisdale Capital. Kerrisdale Capital is a firm that deals in long-term investment options. Sahm Adrangi also happens to be the firm’s, Chief Investment Officer. He has also made a name for himself in the banking sector and in exposing fraudulent companies.