Posted: 10 Sep 2009
Date Written: August 19, 2009
Presents a problem involving rehabilitating a small office building in Pittsburgh. Describes an investment decision which is underfunded. As construction proceeds, the developer realizes that it is not up to building code and faces difficult business and ethical decisions regarding restructuring the deal, finding other sources of capital, replacing the contractors, and dealing with a difficult building inspector. This case also points to the necessity of doing accurate financial planning.
Suggested Citation: Suggested Citation