How much will developers pay NAMA?

A quick question. If we nationalise the banks can those banks still swap the govt debt they are issued with (in payment for the bad loans) for cash at the ECB?
 
I agree with all of that but we are where we are. I'd like to see lots of people in prison for the next 40 or so years but that won't sort out the mess they created.
The international investors are the winners but the bottom line is that we need them more than they need us.
 

If they operate it separately like for example the Revenue Commissioners this may work
 

But none of the developers are even paying interest anymore, never mind the capital:

http://www.independent.ie/national-...n-interest-payment-by-developers-1622498.html



Why would NAMA be better at, er, persuading them to pay interest than a private bank?
 

Then they would default on the loan and NAMA would cease the property and either sell it (unlikely due to current values) or rent it and use the proceeds to pay the interest. Development land may be more difficult but due to the level of cross security on a lot of this stuff there may be income producing assets in the pot. It is difficult to speculate without know the terms and security of each individual loan
 
paddy26 said:
Then they would default on the loan
Click to expand...

That still negates Ahearn's rebuttal that "interest paid on these loans by the developers would pay the interest NAMA would be paying".

So, NAMA would end up seizing land it can't sell. And we already know that developers were using the same assets for multiple loans, the assets seized will cover only a small fraction of the loan value.
 
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