Regina’s Farm-Unique Dining Experience with a Waitlist Until 2032
5-5-24
Opening Comments
My last note was about spring fishing in Florida. The most opened links were Bill Ackman’s 8 stocks and Jensen Huang’s interview around AI and Nvidia.
I received dozens of emails regarding editing my newsletter. I want to thank my readers for the amazing response. I found someone to help me who is an accomplished editor with multiple awards for writing. As a fun aside, Lisa’s son turned her on to the world-renowned Rosen Report and she has become an avid reader. I want to thank my sister, Debbie, for helping me edit the newsletter for the past year or so. GREAT JOB! I am a little old school. I could have used AI, but I am not ready yet. I like the human element.
As a reminder to my new readers, I am sent over 500 messages per week by readers with story ideas for the Rosen Report. If you have an idea, send it to rosenreport@gmail.com. Also, some email servers truncate the note and you need to hit “View Entire Message.”
Sunset Sushi
I was invited with a friend to the grand opening party of Sunset Sushi’s new location. I recently wrote about it and believe it is an amazing omakase lunch sushi value for $50. The party was fun with over 150 in attendance. They carved up a 200lb blue fin and I got to pose with the chefs (Eric and Boudhadana). Some pictures from the event. The chef told me the loss factor on a 200 lb tuna is almost 40%. Also of note, the crowd was young and a DJ was playing some good tunes. I saw quite a few RR readers in the room. I brought my friend from Palm Beach, Beau, with me and we crushed a lot of fresh sushi and it was a fun night.
Markets
The Money in Sports Has Gone Bonkers
Ivy Leagues Ain’t What They Used to Be
Average IQ in the US Dropping
Boca $40mm Knockdown Sold
Palm Beach Island Lunacy
Florida Housing Inventory Increasing Sharply
Housing Affordability
Austin Rents Cooling
Video of the Day-Air BnB Money Raise Day 1
The founder of AirBnB read an email he received when he was trying to raise money suggesting the idea for AirBnB did not have a big enough market opportunity. Brian Chesky then outlines just how big AirBnB has become. At the time, he was trying to raise $150k for 10% of the company. The market cap today is $10bn. Yes, there would be dilution but even if it was 50%, your $150k would be worth $5bn! Check out the short video. Raising money is hard. You need to knock on a lot of doors.
Regina’s Farm-Unique Dining Experience with a Waitlist Until 2032
I was finally invited to Regina’s Farm in Fort Lauderdale. It is an outdoor Brazilian communal dining experience affiliated with a church. They only do 30 nights/year for the event and have closed off the wait-list. I had heard amazing reviews and finally got to experience it for myself. My friend, Evan, runs a group called the “Red Meat Lovers Club,” and rented out the entire facility for the night. I believe the regular price is approximately $65 (can’t get in) and I paid $177 for the experience.
Given all the chatter about Regina’s Farm, my expectations were off the charts. A multi-year wait that is so long they cut-off the wait list sounded like it was a joke. I will start off with the fact that the best word to describe the evening would be “Unique.” It was not what I expected, but in a good way.
Regina started her little farm and cooking for others because of the nostalgia that she has for her state of Minas Gerais in Brazil. The crackling of the wood stove, the ‘hot out of the oven’ Cheese Bread, boiling coffee, the smell of the fire and the chickens running free. People of every walk of life come to the farm to dine and what we hear from our guests most, is how much eating at the farm reminded them of their home.
I only knew the host of the night, Evan, and introduced myself to a young couple, Megan and Jack. Both were Olympic athletes in the Skeleton and were a lot of fun. The seating is communal and we took a seat waiting for the first course, soup, to be served. They served us South African Biltong which is kind of a beef jerky but far more moist. I don’t eat beef jerky but found this very tasty and not so dry and chewy as traditional jerky. It is also cut very thin. I tried a cheese empanada that was light and fluffy without too much cheese. Both were great and helped me ease into the food.
Given there were 165 people in attendance and only one central place to get your food buffet style, they call people to come to the food line by the color on your wristband.
We went up and were able to pick from 6 soup selections. All looked delicious and I tried four of them (chicken, oxtail, fish, and corn and bacon). Although all were solid, the oxtail and chicken stood out. The flavors were amazing with chunks of meat in every bite. The chicken soup was more tortilla-style than NY Deli. I was warned not to eat too much and pace myself, but it was challenging given how good it was. I should have stopped at two soups. They recommended these homemade cheese biscuits with the soup and they were so moist and delicious that I am too scared to tell you how many I ate. You can see it in the top of my chicken soup below.
One negative of the experience is the wait between courses. Yes, the conversation at the table with Megan, Jack and Tom was very enjoyable but once we finished the soup, I would guess it was 40 minutes before we got our entree portion. I am old and impatient and do not like waiting so long.
The selection for the entrees and sides was overwhelming. My plate was so over-filled that much of my food blended together. There were meats, eggs, fish, potatoes, corn yuca, stews, collard greens, sausage, and salads, all with a Brazilian flare. Although there was something for everyone, there were quite a few meat options (beef, chicken, pork of varying types in a stew-like form).
I devoured my plate. Again, the oxtail stood out for me but nothing I tasted was bad. I loved the Yuca (root of a cassava plant) and thought the collard greens were a nice addition and something I rarely see on the menu. I went up for a second plate and this time there was no line.
We waited a while for the desserts as Evan was hosting a charity auction. I bought a Ric Flair signed shoe. Yes, the wrestler from the 1970s-1990s. As a kid, I fondly remember thinking he was cool as he called himself the “Nature Boy.” The donations went to help send underprivileged kids to college, so I felt the need to partake.
For the dessert, I got up to the line and was first as I was concerned about waiting. Regina was setting up with her assistants and it was one hell of a spread. Cakes, pies, fruit, ice cream, fudge of all sorts and kinds. Virtually all was made on premises. The key lime pie had an amazing crust and was my favorite. The chocolate used in some of the desserts was darker and I prefer milk chocolate but all were solid.
People raved about the coffee. Given I have yet to taste coffee in my 54 years, I did not feel the need to start on Saturday night. I am also told it has a lot of caffeine and the world is a better place without me on any of that.
I felt the experience at Regina’s Farm was unique and special. I put my name on a waiting list in case there is a cancellation so my family can experience it. Is the food Michelin Star quality, no, it is not. However, the vibe, setting, food and people make it a special place that I would like other people to experience. One other downside is it is outside and if it rains, you are out of luck. No refunds. If you have the opportunity to experience it, please go. I think you will enjoy the evening and Regina and her family could not have been nicer. For the regular price of $65, it is a no brainer and you can bring your own wine with no corkage fee.
Quick Bites
We are back to bad news is good news. The unemployment rate increased to 3.9% from 3.8% driving Treasury yields down and stocks up. The U.S. only added 175k jobs relative to 240k expected. To explain, low unemployment rates are inflationary as more people are working/earning/spending. As the unemployment rate ticks up, it creates less inflationary pressures and given the Fed has been fighting inflation for a few years, this “bad” news was viewed positively. Add to this that Powell mentioned the Fed is more focused on employment data and you have a decent rally. The 2 year Treasury fell 7bps and 10 year -7bps post the news. Just days ago, the 2-Year was yielding 5.03% and the yield is now 4.81%. Stocks rallied 1.2-2.1% Friday, post the employment data. On the week, stocks were volatile but ended in positive territory with the S&P+.6% and the Nasdaq+1.4%. The VIX is sub 14 now after approaching 20 a few weeks ago. Bitcoin rallied back to flat ($63.9k) on the week after a downdraft taking it as low as $58k.
The economics of sports have gone parabolic in recent decades. Remember, Jerry Jones bought the Cowboys for $140mm in 1989 and Steinbrenner bought the Yankees for $10mm in 1973. Today, the Cowboys are worth $9bn and Yankees worth $7bn. The National Basketball Association is close to signing new long-term broadcasting agreements that would pay the league about $76 billion over 11 years, or three times its current deal. The league has agreed to the general framework of deals with Walt Disney Co. and Amazon.com Inc. that are worth $2.6 billion and $1.8 billion a year, respectively, according to people familiar with the terms. The league is going to secure a record payday of close to $7 billion annually thanks to strong demand for live sports and the emergence of new bidders. The league’s current media deals are worth a total of $24 billion, or over $2.6 billion a year. For perspective, Michael Jordan, the best basketball player of all time, earned $94mm during his 15 year career including $555k his rookie year and two years in the $30-33mm range late in his career. Today, the average NBA player makes $9.7mm/year and with these new broadcasting deals, a lot more than that. Check out salaries from this season. In a related note, let’s look at college football coaching salaries. One of the best coaches was Bobby Bowden, and his “record breaking” salary in the 1990s was $600k. Today, Kirby Smart from the University of Georgia is getting $13mm/year 34 years later. Inflation since 1990 has averaged 2.5%. This salary example increase in coaching is averaging +10%/year for 34 years or 4 times the rate of inflation.
Two interesting articles about colleges and a move away from Ivy League schools. I 100% agree. I am knee deep with our son, Jack, looking at schools. Despite good grades, extra-curricular actives, lots of AP classes… we are not considering Ivy League Schools. Why the shine of the Ivy leagues is losing its luster is one article. I have written on the topic of vocational schools regularly and feel this article does a nice job of articulating why it makes sense for more students to consider that route. The construction industry is short 500k jobs, while confidence in higher education is plummeting. Another one is entitled, “Employers Are Souring On Ivy League Grads, While These 20 “New Ivies” Ascend.” Policies matter. What is taught in schools matters. The once great Ivy League education is not as good as decades prior, in my mind. I am seeing amazing kids out of schools that I thought were weak 20 years ago, but no more. Many southern schools are really impressing me. I refuse to pay what is effectively $100k to send my children to a school where they won’t feel safe on campus, Jew hate has no consequence and administrators turn a blind eye to activity that should not be tolerated.
I highlighted a recent article about IQs falling for the first time ever. The average IQ in the US fell from 100 to 98 last year. This story takes it a step further by showing IQ by state. MA, NH and VT were the highest rated, while NM, LA and MI were the lowest. During the 1900s, IQ increased and the improvements in education, healthcare and nutrition receive a lot of the credit. Those aged 18-22 saw the biggest drop in IQ test scores since 2006. I wonder how much social media and technology plays in that outcome?
Israel
I thought this short diatribe by Scott Galloway was powerful and have given the data in prior notes. He discusses death in prior wars. Please watch the 2-minute video. I have discussed this in depth, but someone with a far bigger voice is saying the same thing in a more articulate fashion.
Turkey halts all trade with Israel, cites worsening Palestinian situation
More than 2,100 people have been arrested during pro-Palestinian protests on US college campuses
It resulted in cheers. This is happening on campuses in the USA!
New York City Warned of 'Radicalization' Infiltrating City
Elections matter. Think about who you want to support and how they view the uprising going on across America against Jews and Israel.
Columbia goes remote after campus arrests
Just what every parent and student want to hear, “remote schooling” for $100k. Hamas wins again.
Harvard Commencement Speaker Published Editorial Likening Israel to Hitler
How is it possible that a once amazing institution has fallen so far as to have this person speak?
Iran university offers scholarships to US students expelled over Gaza war protests
What is common to the 12 out of the 13 countries that have spent most money on U.S. colleges?
Federal funding of universities, 2023:
If I was in Congress, I would be cutting off all funding for universities that do not protect students. This article goes into detail on Federal funding.
Hezbollah, In Latin America-Implications for US Homeland Security
The lack of a border is Biden’s biggest mistake during his Presidency in my opinion. We have no idea who is in the country and sadly, a lot of criminals were let in with no way to follow them.
Colleges Have a New Source of Protest on Their Hands: Irate Parents
I am sick about what is going on at schools across the country and it seems I am not alone.
Of course, their faces are covered. I understand free speech. However, I believe there should be a law that forces you to show your face so people know you hate. Let’s see how many hate protests will take place then. I hope employers do not hire any of the people who are found to be involved in any hate-filled events.
While U.S. Debates Free Speech, Pro-Hamas Rhetoric in France Is a Crime
Other Headlines
Disaster Loans Provided a Lifeline. Now Small Businesses Owe Billions in Late Fees.
Long-predicted consumer pullback finally hits restaurants like Starbucks, KFC and McDonald’s
Starbucks Is Running Out of Americans to Drink Its Expensive Coffee
However, Live Nation said, "So just to make sure we hit hard on the consumer demand, we are seeing no weakness.”
Americans were paid an additional $235 billion in interest in 2023, thanks to the Fed
In 2023, savers made $315.4 billion in interest in deposit accounts, four times the $78.7 billion they earned in 2022.
Americans cash out of sustainable funds
The chart below can best be described as the pendulum swinging. Why do you think money is leaving sustainable funds? Because the returns are too high or too low? If sustainable funds were outperforming, people would be investing.
Berkshire Hathaway operating earnings soar 39% as Buffett’s cash hoard swells to record $188 billion
Apple announces largest-ever $110 billion share buyback as iPhone sales drop 10%
Shares +7% on news despite the falling sales. Check out the largest buybacks of all time below. Not all buybacks work out. GE announced a $50bn buyback when the stock was around $130/share in 2015. It went to $31 over the next few years.
Carvana shares spike 30% as used car retailer posts record first quarter
The stock was $4 18 months ago and is now $116/share.
Elon Musk's Tesla yanks summer internship offers, students say
This is a horrible idea. The cost of interns is relatively low. They work for 2-3 months and the interns become future employees. Cancelling internships weeks prior to the start date is a weak move by Elon and Tesla.
SEC charges Trump Media auditor with ‘massive fraud’ on hundreds of companies, imposes lifetime ban
'Damning' report details Biden admin’s Big Tech 'censorship' push
Leaked internal emails from Big Tech firms show pressure from the Biden administration.
AI engineers report burnout, rushed rollouts as ‘rat race’ to stay competitive hits tech industry
The IRS says audits are about to surge — here’s who’s most at risk
Corporations with $250mm in assets, partnerships with $10mm in assets, individuals with $10mm annual income.
Second Boeing whistleblower dies suddenly after claiming safety flaws ignored
Being a Boeing whistleblower sure is dangerous. The first guy, John Barnett, said, If anything happens, "it’s not suicide.” He was found dead of an apparent suicide. People, there is nothing to see here. All is above board. Next whistleblower died of a “rapidly moving infection.”
‘Liquid gold’: An olive oil shortage is fueling record prices & food insecurity fears
Brute slugs elderly man who refused to let him inside NYC apartment building
Elon Musk to reinstate X account of white nationalist Nick Fuentes
From installing electrified doorknobs to ballistics-grade walk-in closets, the city’s ultrarich are feeling ultra-paranoid.
The No. 1 credit card myth that ‘just will not seem to die’—why you shouldn’t fall for it
Carrying a balance is NOT good for your credit score.
The suggestion is this may help with glioblastoma tumors which kill patients. This would be amazing. My step-father died from a glioblastoma.
In a first, an orangutan was seen treating his wound with a medicinal plant
Exercise pill closer to reality as science unlocks molecular secrets of working out
Could you imagine if this works?
One of my frustrations as a fisherman is litter in the ocean. I hate seeing plastic and garbage littered anywhere. I vividly recall a surfing and fishing trip to the Maldives in 2010 when I found 2 liter bottles of Coke floating in the middle of the ocean. It was depressing. This Post story shows spring breakers dumping trash in the ocean. Turns out these idiot kids were from the Boca area. The boat was identified.
Spiral UFO sightings spark shock across US, Europe: ‘SOMEONE EXPLAIN PLZ’
More good video. Aliens, I am in NYC in June if South Florida is not convenient for you. I would like to have you on my podcast, pose with RR swag and like to see your planet while rolling the video.
Real Estate
The most expensive house in Royal Palm just sold for $40mm and it was a knock down. It was 1.7 acres with 437 of intracoastal and canal frontage.
Check out the change in prices since I moved down in 2017. The average price in Royal Palm is $12.5mm vs $3.7mm, while the median price is $8.4mm vs $3.6mm during the same period. In 4 months in 2024, $350mm houses were sold relative to $253mm all of last year. Also, YTD, 11 homes have sold over $13mm and 7 over $20mm. In 2017, ZERO sold over $13mm.
Palm Beach Island remains hot. A 98 year old (redone) home sold for $60mm (not on water). The lot was approximately 1 acre but the Tudor Style home is hardly in fashion. The house last sold for $11.1mm 4 years ago but clearly serious money was spent remodeling the house. Another new spec house just sold for $43.8mm, again not on water. In a related note, I spoke with a R/E agent selling a high-end new condo ($3k/ft) in West Palm Beach. She said, of the buyers, less than 10% are full time FL residents. Most buyers own multiple homes. Some own as many as 5-7 homes! The wealth in South Florida is just remarkable.
There are literally dozens of stories about the impending collapse of the Florida housing market. I am seeing weakness and more inventory on the lower end in some markets. Higher rates, higher insurance costs and housing affordability is definitely impacting inventory. This CNBC article is entitled, '“Florida real estate struggles as ‘motivated’ sellers flood market.” According to the latest Redfin data, the number of homes for sale in Florida has surged after homebuilders rushed to accommodate newcomers. There are more than 5,600 active listings in Florida that include the keyword “motivated” in the description on Zillow. Once a red-hot destination for out-of-state homebuyers, Florida is seeing its inventory of homes for sale skyrocket and price growth stagnate. According to Redfin, the median time a Florida home spent on the market was 57 days in March. Two years earlier, that time span was just 24 days. “It’s also coming at a time when HOA (homeowner association) fees are going up and insurance costs are going up, and people don’t want to pay these higher property taxes,” Fairweather said. “More new listings are coming on the market right now, too.” The market in Florida has been on fire. I am not surprised to see a pull back after such a strong move. However, the high end has been resilient as seen in the prior bullet. I am not sure how long that can last if we end up seeing a material price reduction on low/mid priced homes. The big selling season is wrapping up and if you don’t sell in the next few weeks, the likelihood of a summer sale goes down. Carrying costs are far higher today with rates, insurance and the substantially higher prices. My costs of pool maintenance, landscaping, cleaning… are up 30% in the past few years.
Interesting CNBC article about affordability. It’s an expensive time to buy a home in the U.S., with half of potential homebuyers saying they can’t afford a down payment and closing costs on a new property. But when it comes to affordability, or lack thereof, not all cities are created equal. In a recent study, Creditnews Research ranked the most populous U.S. cities by the percentage of neighborhoods financially within reach for the average married couple.
Austin's apartment rents have taken a nosedive, leading the nation with a -7.4% year-over-year drop in April. Here’s why rents are falling. The market: Just a few years back, Austin was the hot ticket for West Coast transplants, fueled by its vibrant economy and rock-bottom interest rates. Between late 2019 and mid-2022, the city's home prices skyrocketed. But thanks to a massive wave of supply, renters in the city are finally getting some relief. Cooling down: The median rent in Austin ($1,470) fell by 0.2% in April and has now decreased by -7.4% over the past 12 months. Austin’s rent growth over the past year has fallen behind both the state (-2.7%) and national averages (-0.8%).
© 2024 The Rosen Report LLC. All rights reserved. Does not constitute investment, financial, legal, or tax advice. Consult with your lawyers and professional financial advisers. Rosen Report™ #679 ©Copyright 2024 Written By Eric Rosen.
