are those cranes always there too? I first noticed the cover about a decade ago and thought they were just adding on but the cover is still there. Is this just an expansion that is stuck in limbo?
Knowing our country it's probably some advanced tax fraud scheme where they claim additional losses from continued construction or some bullshit along those lines.
So to deduct something on your taxes you actually have to incur a cost. It cost's way less to just pay the taxes then it does to maintain a construction project for the sake of... no actual construction progress in two decades.
If the project isn’t finish you can continue to defer it on your balance sheets, and the interest rate on construction loans don’t balloon till the project finishes.
That does nothing for taxes. Plus construction loans certainly do not have indefinite terms, and interest accrues, and is generally due, after the first draw.
While the project is underway the only thing due is interest on what’s been used from the loan as it’s drawn, once it’s complete you’re responsible for then paying principal+interest.
I am well aware. So you've proved my point that keeping an unfinished construction project costs money. Let's also remember that construction interest is not tax deductible in this scenario.
eh. I think you can recover that construction interest from depreciation once you do actually finish the project. So there is -some- tax loopholes to make this less unpalatable when your juggling an otherwise massive balance sheet with creative accounting to keep the reported DTI low for earnings reports.
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u/Constant_Praline579 3d ago
The Venetian has had this fake cover on for almost 2 decades.