Current Hedge Fund Monarch Makes New Housing Bet

Just another one hit wonder or will lightning strike twice?!

John Paulson, current monarch of hedge funds who famously raked in more than $4 billion betting against the US subprime housing market in 2007, is underscoring his bullish bet on America in a major way.

According to CNBC, Paulson’s $31 billion New York-based Paulson & Co. fund has made a “stalking horse” bid of  more than $42 million to acquire the assets of Engle Homes, which includes land and lots in Arizona targeted for more than 8,000 homes, and nine completed residences.

Engle-owned property in Colorado and Nevada is also part of Paulson’s proposed deal, CNBC said.

As Reuters pointed out in late February, investors like Paulson are “buying land because they recognize the demand from public builders who would benefit from increased supply and lower prices.”

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