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Dead Capital: by Bitange Ndemo
Rank: Elder Joined: 6/8/2013 Posts: 2,517
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Dr Ndemo's articles remind me of this earlier one ==>Hii hapa rural mansions tenants are paid to livevery thought provoking articles am a victim and my village wah...I use my huge simba during the December only "😖😡KQ makes money for everyone except the shareholder 😏😏 " overheard in Wazua
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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a4architect.com wrote: Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/ Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Member Joined: 5/22/2009 Posts: 206
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murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument.
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Rank: Elder Joined: 5/27/2008 Posts: 3,760
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Its not dead capital if you are laundering the 10% acquired from influencing some contract. A hard nosed wazuan wouldn't make such an investment.
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Rank: Member Joined: 8/6/2013 Posts: 640
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He was on point, I like his article, this one made review my plans for this year. Its all good.
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Elder Joined: 2/16/2007 Posts: 2,114
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My humble structure in the village was financed partly from the sale of KQ shares(from IPO price to Ksh 54 at the time)...the good thing is that the land on which it is built was free.Some of the rooms are used to store bananas,beans,fertilizer..
The main reason it was built was that I was about to marry and needed a place to bring my new bride.
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Rank: Member Joined: 5/22/2009 Posts: 206
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murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere.
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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TNT wrote:murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere. Anything dead has no return hence Ndemo's example of his rural Kisii home, he sunk in millions which don't give back, he lives in nbi, pays rent, pays a maintenance dude. Read the article again. Every investment is a gamble, even the architect's investment venture can be underutilized if he doesn't get clients so its no different with land. He'll still need to pay taxes and other maintenance costs. I have no issue with him, but he shouldn't discourage other people with their ideas so that they can buy to his. Other examples of dead capital...72" LED TV in your hse, that expensive furniture. "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Member Joined: 5/22/2009 Posts: 206
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murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere. Anything dead has no return hence Ndemo's example of his rural Kisii home, he sunk in millions which don't give back, he lives in nbi, pays rent, pays a maintenance dude. Read the article again. Every investment is a gamble, even the architect's investment venture can be underutilized if he doesn't get clients so its no different with land. He'll still need to pay taxes and other maintenance costs. I have no issue with him, but he shouldn't discourage other people with their ideas so that they can buy to his. Other examples of dead capital...72" LED TV in your hse, that expensive furniture. Your first point is just a repetition of what I've said. Your second point is null and void because, from the word go, Dr. Ndemo's rural house is a liability. Granted, every investment carries some element of risk, some carry more risk than others, of course. However, since the metrics in speculative investments are highly unpredictable, it is wise to go for investment options with predictable metrics, particularly if you are not rich. Otherwise, you may as well consider the roulette table to be a solid investment option. Finally, the TV and Sofa you talk about may not necessarily be Dead Capital. In fact, the definition of the term "Dead Capital" outside Dr. Ndemo's article carries a whole different meaning. For that reason, you must interpret it in context. Here is the definition of the term, according to Wikipeadia, "Dead capital is an economic term related to property which is informally held that it is not legally recognized. The uncertainty of ownership decreases the value of the asset and/or the ability to lend or borrow against it. These lost forms of value are dead capital."
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Rank: Elder Joined: 12/7/2012 Posts: 11,908
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TNT wrote:murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere. Anything dead has no return hence Ndemo's example of his rural Kisii home, he sunk in millions which don't give back, he lives in nbi, pays rent, pays a maintenance dude. Read the article again. Every investment is a gamble, even the architect's investment venture can be underutilized if he doesn't get clients so its no different with land. He'll still need to pay taxes and other maintenance costs. I have no issue with him, but he shouldn't discourage other people with their ideas so that they can buy to his. Other examples of dead capital...72" LED TV in your hse, that expensive furniture. Your first point is just a repetition of what I've said. Your second point is null and void because, from the word go, Dr. Ndemo's rural house is a liability. Granted, every investment carries some element of risk, some carry more risk than others, of course. However, since the metrics in speculative investments are highly unpredictable, it is wise to go for investment options with predictable metrics, particularly if you are not rich. Otherwise, you may as well consider the roulette table to be a solid investment option. Finally, the TV and Sofa you talk about may not necessarily be Dead Capital. In fact, the definition of the term "Dead Capital" outside Dr. Ndemo's article carries a whole different meaning. Here is the definition of the term, according to Wikipeadia, "Dead capital is an economic term related to property which is informally held that it is not legally recognized. The uncertainty of ownership decreases the value of the asset and/or the ability to lend or borrow against it. These lost forms of value are dead capital." Reading these contributions makes it interesting how people interpret stuff. @Muchr, kindly re-read what the arch guy was advancing. In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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TNT wrote:murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere. Anything dead has no return hence Ndemo's example of his rural Kisii home, he sunk in millions which don't give back, he lives in nbi, pays rent, pays a maintenance dude. Read the article again. Every investment is a gamble, even the architect's investment venture can be underutilized if he doesn't get clients so its no different with land. He'll still need to pay taxes and other maintenance costs. I have no issue with him, but he shouldn't discourage other people with their ideas so that they can buy to his. Other examples of dead capital...72" LED TV in your hse, that expensive furniture. Your first point is just a repetition of what I've said. Your second point is null and void because, from the word go, Dr. Ndemo's rural house is a liability. Granted, every investment carries some element of risk, some carry more risk than others, of course. However, since the metrics in speculative investments are highly unpredictable, it is wise to go for investment options with predictable metrics, particularly if you are not rich. Otherwise, you may as well consider the roulette table to be a solid investment option. Liability...assets all require capital investments. The issue here was not what is an asset or what is a liability. Its a matter of where u put your shilling and how its utilized. If Ndemo takes up a loan and uses his Kisii hse/plot as collateral will he get funding? Probably it all depends on the institution. If on the other hand a4architect becomes rogue and vanishes with all documentation etc etc wouldn't that be a gamble? Note: Am not saying that architects idea is bad..all am saying is that land in isinya, kajiado, kangundo, is not dead capital if it can be utilized to profitability. Therefore if you can sink a milli in Kdo and put up whatever to give u cash, go ahead. Even that hotel in Keroka is not dead capital if it brings up business. I hope am clear "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Member Joined: 5/22/2009 Posts: 206
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murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere. Anything dead has no return hence Ndemo's example of his rural Kisii home, he sunk in millions which don't give back, he lives in nbi, pays rent, pays a maintenance dude. Read the article again. Every investment is a gamble, even the architect's investment venture can be underutilized if he doesn't get clients so its no different with land. He'll still need to pay taxes and other maintenance costs. I have no issue with him, but he shouldn't discourage other people with their ideas so that they can buy to his. Other examples of dead capital...72" LED TV in your hse, that expensive furniture. Your first point is just a repetition of what I've said. Your second point is null and void because, from the word go, Dr. Ndemo's rural house is a liability. Granted, every investment carries some element of risk, some carry more risk than others, of course. However, since the metrics in speculative investments are highly unpredictable, it is wise to go for investment options with predictable metrics, particularly if you are not rich. Otherwise, you may as well consider the roulette table to be a solid investment option. Liability...assets all require capital investments. The issue here was not what is an asset or what is a liability. Its a matter of where u put your shilling and how its utilized. If Ndemo takes up a loan and uses his Kisii hse/plot as collateral will he get funding? Probably it all depends on the institution. If on the other hand a4architect becomes rogue and vanishes with all documentation etc etc wouldn't that be a gamble? Note: Am not saying that architects idea is bad..all am saying is that land in isinya, kajiado, kangundo, is not dead capital if it can be utilized to profitability. Therefore if you can sink a milli in Kdo and put up whatever to give u cash, go ahead. Even that hotel in Keroka is not dead capital if it brings up business. I hope am clear Let me try another approach: Both party A and B have 1 million bob to invest. Party A builds a house that doesn't generate any revenue and even worse Party A still has to pay house rent elsewhere. On the other hand, party B invests the million bob in a banana selling business - buying bananas from Keroka and selling them at Marikiti market - at nets a modest 10% profit each month. At the end of year 1, assuming no major setback for either party, party A would still own a home worth a million bob, and while Party B would not have a home, he would have a business worth more than 2.2 million (the 1 million capital plus another 1.2 in profits) Just imagine what would have been had Dr. Ndemo invested the money he used to build the house in his vegetable business. In fact, The Bible talks about it this same situation in the Parable of the Talents.Finally, I strongly suggest you find out what a4architect proposal is all about. Clearly, you have no idea what it entails.
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Rank: Elder Joined: 12/7/2012 Posts: 11,908
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TNT wrote:
Finally, I strongly suggest you find out what a4architect proposal is all about. Clearly, you have no idea what it entails.
 In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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TNT wrote:murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:TNT wrote:murchr wrote:[quote=a4architect.com]Very interesting writing by Dr Ndemo. Most Kenyans who can afford savings of around kes 1m usually end up buying land far way from nairobi in sinya, kajiado, kangundo etc . This land can not be used to contruct houses to live in since its too far from nairobi. The land cant be developed into rentals since there is no one to rent it. The kes 1m therefore becomes dead capital. This money could have been used in better real estate ventures such as this one here http://www.a4architect.c...oint-investment/page/4/[/quote] Tafathali usidanganye watu. Wazuans if you can afford to buy land in Isinya Kajiado or Kangundo pls do you will remember this when you reap the fruits later. Ofcourse use the land for other purposes eg farming. You are arguing a different point. That is, if you buy land in Isinya and utilize it for commercial farming successfully, that is not dead capital, it is an asset. In contrast, if you were to leave the said land unutilized and continue to struggle financially, as you wait for the price of land in Isinya to rise, that would be dead capital and you could possibly lose the land to your creditors. Therefore, investing the million bob in income generating activities, such as what a4architect.com proposes, would be a wise move. I think that's the gist of Dr. Ndemo's argument. Read what i wrote again. And 2 Dead Capital is money invested in an asset that you will not be able to transfer. EG your shags home. Hence my disagreement with the architect here. In Dr. Ndemo's context, Dead Capital is simply an "asset" that is actually a liability. For example, a house that is underutilized and requires the owner to pump in additional money for its upkeep. In effect, it does not offer an ROI. Instead of gambling with such investments, land speculation included, the owner could have invested the money used to construct the Dead Asset more profitably elsewhere. Anything dead has no return hence Ndemo's example of his rural Kisii home, he sunk in millions which don't give back, he lives in nbi, pays rent, pays a maintenance dude. Read the article again. Every investment is a gamble, even the architect's investment venture can be underutilized if he doesn't get clients so its no different with land. He'll still need to pay taxes and other maintenance costs. I have no issue with him, but he shouldn't discourage other people with their ideas so that they can buy to his. Other examples of dead capital...72" LED TV in your hse, that expensive furniture. Your first point is just a repetition of what I've said. Your second point is null and void because, from the word go, Dr. Ndemo's rural house is a liability. Granted, every investment carries some element of risk, some carry more risk than others, of course. However, since the metrics in speculative investments are highly unpredictable, it is wise to go for investment options with predictable metrics, particularly if you are not rich. Otherwise, you may as well consider the roulette table to be a solid investment option. Liability...assets all require capital investments. The issue here was not what is an asset or what is a liability. Its a matter of where u put your shilling and how its utilized. If Ndemo takes up a loan and uses his Kisii hse/plot as collateral will he get funding? Probably it all depends on the institution. If on the other hand a4architect becomes rogue and vanishes with all documentation etc etc wouldn't that be a gamble? Note: Am not saying that architects idea is bad..all am saying is that land in isinya, kajiado, kangundo, is not dead capital if it can be utilized to profitability. Therefore if you can sink a milli in Kdo and put up whatever to give u cash, go ahead. Even that hotel in Keroka is not dead capital if it brings up business. I hope am clear Let me try another approach: Both party A and B have 1 million bob to invest. Party A builds a house that doesn't generate any revenue and even worse Party A still has to pay house rent elsewhere. On the other hand, party B invests the million bob in a banana selling business - buying bananas from Keroka and selling them at Marikiti market - at nets a modest 10% profit each month. At the end of year 1, assuming no major setback for either party, party A would still own a home worth a million bob, and while Party B would not have a home, he would have a business worth more than 2.2 million (the 1 million capital plus another 1.2 in profits) Just imagine what would have been had Dr. Ndemo invested the money he used to build the house in his vegetable business. In fact, The Bible talks about it this same situation in the Parable of the Talents.Finally, I strongly suggest you find out what a4architect proposal is all about. Clearly, you have no idea what it entails. Your beating about the bush sir! Everyone has a reason as to why he invests. My argument with architect was that he thinks my buying land in Isinya is not worthwhile, that is dead capital and i'd rather buy into his plan. Thats where we differ. Yeye afanye yake mimi yangu. If God forbids archi dies today(and pls i dont wish him that) after i have sunk my milli in his plan,...i'll wake up tomorrow looking for a lawyer. Read my response to archi...that as long as tht land is put to use in whatever productive way its not dead capital even if its giving me just 10% return. We are disagreeing in the definition of what dead capital is. "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Dead Capital: by Bitange Ndemo
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