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Would you accept this counter-offer?
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Almost a year in the market. 3.5 million. Then, 3.0. Then, 2.9. ​ I liked it, I compared it with the market. I thought that 2.8 – 2.9 mil could be a good deal. Offer: 2.75 million. ​ Not very big, not too fancy… but a view. You have to pay well for those things in NZ… and not an investment, but a place to live. ​ Anyway. ​ Counter-offer… 3.2 million. ​ The agent called it buyer’s regret. ​ I call it, not serious. ​ This happened in December. ​ And this is not uncommon. ​ I’ve seen teams that once named preferred bidders get greedy. All that “super partner” stuff in the RFP? Gone. Forgotten. ​ The security package is changed from letter of credit to insurance bond… also known as useless toilet paper. The NTD or note to draft of the contracts are rapidly filled with unacceptable crap. ​ You look at the calendar. ​ And you start regretting. ​ Why not going to call the second bidder? ​ Well… this is why you need a second best. A strong one, by the way. ​ And for that, you need an excellent process. ​ And for an excellent process, you can start by clicking below. ​My Mentorship​ ​ ​ PD 1: If you liked this email, don't keep it in secret and forward it to a friend. They will thank you enormously one day. PD 2: If somebody has sent you this email and you want to receive emails like this yourself, visit vicentevalencia.com PD 3: If you want unsubscribe, click the link below. ​ ​ |
Vicente Valencia
I talk about Personal Growth, Management, Infrastructure and More | 👇JOIN +2k readers 👇
Eastern Europe. Late 2000s. If you are old enough, you can feel the context. A massive highways PPP. Toll road. Billions in capex. One of those “nation-building” projects politicians love to parade in front of TV cameras. You can smell now the country… Your consortia are seasoned. Anyone knowing how to pour asphalt on top of something lined up. Your lenders are aligned. Your traffic advisors have gone blind staring at stochastic models. Everyone is gearing up for a clean, competitive...
I buy houses, apartments and buildings from 20.000km distance. In Spain, Panama, New Zealand… and I can stay anywhere. Of course, I don’t recommend that for you. Some people want to push globalization too much. Having assets in London, NY, Madrid, Singapore, Sydney, etc. at the same time is not good for your health, nor your pocket. You miss specialization. You miss learning and knowing well a market. When bidding PPP projects, I have seen successful bidders doing so from the distance....
It happens a few weeks ago. “Tell me about Madrid and Spain, how do you do it? I heard a business case that Madrid has been able to deliver the cheapest tunnels in the world…” I did not know about that case, but my answer was simple: “Do you know how many TMBs had Madrid at the time?” Look. If you want cheap infrastructure, create a pipeline. Madrid had during more than 10 years between 7 and 8 TBMs (the machines to make tunnels in engineering slang). They are extremely costly. So, they...