I Just Raised My Paddle For Padel
10-30-24
Opening Comments
My last note was about Apple products and my new iPhone 16. The most opened links were the video of the $15bn Stanford engineering professor and the article outlining Warren Buffett’s 10 things poor people waste money on.
Markets
Palm Beach High-End Hotels
Procrastination
Radioactive Island
2023 Migration Data Out of NY
Hardest Part About Relocating To Florida for Citadel Employees
High End Senior Living
NYC’s Priciest Slum
Pictures of the Day-The Value of Various Degree
I write a lot about college and vocational options for young adults today. This chart from VisualCapitalist outlines which degrees are worth the most from a return on investment perspective. The Visual Capitalist does amazing work and puts together fantastic charts. Note the most valuable degrees (Engineering, Computer & Information Sciences, Mathematics, and Engineering Technicians). However, visual & performing arts, theology and English language are at the bottom of the list.
I Just Raised My Paddle For Padel
In March and April of 2024, I wrote two pieces about padel, “I Love Padel and Ross Berman,” and “My New Favorite Sport.” I am a firm believer in the continued growth of both padel and pickleball. There is an old adage, “Put your money where your mouth is,” and I did just that last week. I invested a significant amount of money in the holding company that controls Replay, the incredible 70,000+ foot indoor facility in Boynton Beach. With one call, I filled the 7 figure funding round and could have easily raised more. Actually, it wasn't even a phone call. I went door to door—well, technically, I just knocked on one door. My neighbor is the former intern, CTO, and CEO of Ultimate Software (now UKG after merging with Kronos). He's an avid tennis and pickleball player who fell in love with Padel and has been searching for the right opportunity to invest in the future of this incredible sport.
Inside the remarkable facility, are 7 pickleball courts, 10 padel courts, a padel coaching facility, 7,000 square foot gym, steam, sauna, locker rooms and a 6,000 square foot bar/restaurant and sports lounge with big screen TVs. They have ping pong tables, shuffleboard, hot yoga, cold plunges and members-only lounge areas throughout the facility. The space is perfect for private events and became a hit with many corporate outings. In fact, We have already run successful corporate outings. Part of the proceeds of the fundraise will go to build 5 more pickle and 3 additional padel courts outside to augment the indoor facilities, bringing the total to 12 pickle and 13 padel courts.
I have been to a dozen facilities for pickle/padel and I have yet to see anything as nice as Replay. At the grand opening on Saturday, October 26th, approximately 350 people showed up. There were both pickle and padel tournaments that day, but, given my torn calf, I was unable to participate. The location of Replay is just off I-95 in Boynton Beach is drawing members from Palm Beach to Boca Raton.
Despite just opening, Replay already has hundreds of members and expects to be at over 600 by the end of the 1st quarter of 2025. There is a reason for the growth of both pickle and padel. They are fun, can be played by most people with limited instruction and the cost of play is reasonable. For anyone interested in learning this sport, you are in luck, as Replay has designed a special onboarding program for new players. It is part of their world-class partnership with The Padel School, which will guide you from day 1 toward playing competitively in just 6 weeks. I promise you that you will be hooked!
Many people pay $200/month for a nice gym membership. At Replay, for just a little more-$250.month-members get access to the entire world class multi-sport/entertainment facility. Members still have to pay $20 for 1.5 hours of padel play, but pickleball court time is included in the cost membership. For full members, clinics are $20, and lessons are $90/hr for pickle and $120/hr for padel. Replay will also host amazing events and organized play and tournaments, as well.
If you have not played pickle or padel, I strongly suggest you do. Personally, I am a padel guy, but understand why some like pickleball. For Rosen Report readers, we can offer a free clinic to check out the facility to see for yourself if you should join. If you are interested in joining or checking it out, let me know by sending an email to rosenreport@gmail.com and I will connect you with the team.
Pickleball has grown by over 220% each of the last three years in the US, while padel is overtaking tennis in some countries. If you have not played pickle or padel, I strongly suggest you do; don’t miss out on the hottest sports out there. Personally, I am a padel guy, but I understand why some like pickleball.
I liked the Replay facility so much, I bought a stake in it and will be on the board. I will be spending many hours each week at Replay playing padel, working out, using the cold plunge, eating meals, watching sports and writing the Rosen Report in the lounge. I have already made new friends there and we are just getting started. We will be opening additional sites in various cities in the US. We are also considering partnerships with developers, so feel free to connect with me if you want to learn more.
And for Rosen Report readers who want check out the facility themselves to consider becoming a member, we are offering a free clinic. If you are interested in joining or checking it out, let me know by sending a Contact me via email, to rosenreport@gmail.com, and I will connect you with the team.
Quick Bites
Busy earnings week with some big wins (Google, Reddit, Snap, Biogen) and misses (AMD, Caterpillar, Lilly, Chipotle, Ford, Volkswagen), with other tech earnings Wednesday and Thursday. Indices are largely unchanged to up slightly over the past week. Super Micro shares fell 33% as Ernst & Young (auditor) resigned. Treasury yields remain at elevated levels relative to recent yields. The 2-year is at 4.16% (+57bps since rate cut) and the 10-year yield is 4.28% (+64bps since rate cut). Higher yields have pushed mortgage demand lower. Oil fell 4% on Monday after Iran downplayed the Israeli strikes but is now at $69/barrel.
I have written at length about the wealth migration into Florida. This article, “Palm Beach Is Having a Luxury Hotel Renaissance,” outlines the various hotel developments and renovations happening in and around Palm Beach. My club, the Boca Raton, is outlined. Michael Dell bought it for almost $900mm in 2019 and has spent hundreds of millions on renovations. Beach front room rates in peak season are $3,000+/night now. The club includes multiple Major Food Group Restaurants, high end bars, an amazing pool/water slide, a lazy river, 12 tennis courts and 12 pickleball courts as well as a short golf course. There is a beach club as well. The place looks amazing since Dell took over. On a separate note, I feel another of the hotels the article mentions, the Breakers, is massively over rated. The rooms are over priced, the food underwhelms and it is way too expensive.
I do not procrastinate in any part of my life. I pride myself on my efficiency and tackling all my projects ASAP. My response time is legendary, as I have so much going on that, if I wait, I will forget and miss it. I wrote a piece entitled, “Response Time.” This article explains why some people procrastinate. While the idea that procrastination is a sign of laziness has long been rejected by psychologists, an early 2022 study published in the journal Brain And Cognition reasserts the idea that procrastination is actually a tool we use to avoid negative or unpleasant emotions like a fear of failure or anxiety – and reveals why some people are more likely to rely on this tool than others. According to the research, which was based on the experiences of over 200 participants, the ability to practice ‘expressive suppression’ – that is, the capacity to regulate how you’re feeling and ‘push through’ negative emotions – makes someone less likely to procrastinate.
Crazy article about a radioactive island with mutant sharks that was used to test nuclear bombs. The Marshall Islands, a ring of coral reefs in the middle of the Pacific Ocean, looks like the perfect place to throw on a floppy sun hat and read a book below swaying palm trees. But in the 1940s and ’50s, the US used two of the far-flung atolls, Bikini and Enewetak, to test out 67 nuclear bombs. One was 1,000 times more powerful than the Hiroshima bomb.
2024 Election
I believe the tech CEOs have far more information than we do. They know every keystroke of their users. I do not think it is a coincidence that they are all kissing Trump’s ring. Of note, this is a CNN article.
The chart below was taken from the Real Clear Poll Website today and can be found in this link.
The article suggests tens of thousands more were turned away. Trump draws big crowds. In the first 24 hours post the Rogan interview, over 26mm views. However, it appears there were racist and lewd jokes told at the rally by a comedian named Hinchcliffe. The Puerto Rican community is clearly unhappy with Hinchcliffe’s comments. I don’t understand how this was allowed to happen.
Trump Media Rally Hits 330% as Polls Show Election in Dead Heat (5 week rally)
Bets by short-sellers against Truth Social could lead to massive losses as Trump stock soars
The market cap of this awful company is now over $8bn, after hitting $11bn this week. It is another sign telling us the market is convinced Trump will win. This company is not worth $3bn based on fundamentals and metrics. First half 2024 revenues were $1.6mm and it has a $8bn+ market cap? Based on recent valuations, DJT is worth about the same or more as Twitter. Ridiculous. DJT stock sold off 20% on Wednesday.
Far-Left Media Launches All-Out 'Trump Hitler' Blitzkrieg With 5,500 Stories In One Week
Trump has a lot of flaws and there are plenty of issues on which to attack him. However, I do not believe Trump is antisemitic. His daughter is an Orthodox Jew and I am not sure he loves anyone or anything more than her. I have Jewish friends that are close to Trump who have told me how well he has treated them. Call out Trump for his flaws all day, but I do not believe he hates Jews. There were many orthodox Jews at the rally to support Trump. I also believe Trump was a major supporter of Israel and Jews during his time as President.
Kamala Harris has admitted her biggest weakness — and it sums up why voters are turning away
Joe Rogan shoots down Kamala Harris podcast interview over campaign’s demands
During the stream, Walz suggested that they would eliminate the filibuster. I just don’t believe this is a good idea for either party.
Biden Moving Ahead With More Student Debt ‘Forgiveness’ Despite Legal Rulings Against it
Harris, entering final stretch, stresses unity and paints Trump as a divider
Ray Dalio concerned about America postelection: ‘Both candidates worry me’
Voter registration hits all-time high in Pa.; more GOP, fewer Dems than in 2020
Ballot drop boxes set on fire in Portland, Ore., and Vancouver, Wash.
The DOJ sued the state of Virginia for purging illegal immigrants from voter roles. I do not understand why this is up for debate. If you are an illegal immigrant you should not be able to vote.
Jeff Bezos defends Washington Post non-endorsement, says Americans ‘don’t trust’ media
The popular media has been awful and got so much wrong, yet rarely apologizes for the mistakes. It has become a clown show. CNBC reported that as of Monday night, WaPo lost 200k+ subscriptions and three editorial board members over the endorsement veto. Bezos Op-Ed on the issue.
Israel/Middle East
Satellite images show damage from Israeli attack at 2 secretive Iranian bases
Knesset approves laws barring UNRWA, limiting it in Gaza and West Bank
Bucking global pressure, MKs overwhelmingly back legislation against UN Palestinian refugee agency over staffers’ terror links; PM’s office: Ready to work with world on Gaza aid
Hezbollah Names New Leader, & Israel Warns "Countdown" To His Death Has Begun
Based on recent history, I don’t think he can hide in a deep enough cave.
How Wikipedia’s Pro-Hamas Editors Hijacked the Israel-Palestine Narrative
A powerful group of editors is hijacking Wikipedia, pushing pro-Palestinian propaganda, erasing key facts about Hamas, and reshaping the narrative around Israel with alarming influence.
Sure sounds like a hate crime to me.
Other Headlines
U.S. economy grew at a 2.8% pace in the third quarter, less than expected
Euro zone growth hits two-year high of 0.4%, beating expectations
Larry Fink says the Fed won’t cut rates as much as markets expect this year
“I think it’s fair to say we’re going to have at least a 25 (basis-point cut), but that being said, I do believe we have greater embedded inflation in the world than we’ve ever seen,” Fink said.
Why Nobody Believes The "Data": Surging Prices Of Everyday Items Are Excluded From CPI
El-Erian Says Soaring Gold Is Driven by Dollar Diversification
The US Dollar's share of global payments hit 49%, the most in 12 years, according to SWIFT data.
Consumer confidence surges as election nears, while job openings move lower
Two Refineries That Produce 14% Of California's Gasoline Set To Close Due To "Regulatory Pressure"
China’s Steel and Oil Industries Bear Brunt of Tepid Economy
Boeing to raise up to $19 billion to shore up finances, stave off downgrade
Migrant gang Tren de Aragua and ‘associates’ racked up 517 NYC busts this year
Bloodthirsty Venezuelan gangsters might be pimping migrant women in NYC’s ‘Market of Sweethearts’
DEPORT him immediately.
Illegal Immigrant MS-13 Member Arrested for Double Murder in Virginia
Tennessee AG: ICE 'knowingly released murderers and rapists' onto U.S. streets
The border policy and the ramifications are dire. I cannot believe we are actually having these discussions.
Dominican Republic will deport up to 10,000 Haitians a week, citing an ‘excess’ of immigrants
‘Unprecedented’ 8 dead bodies wash up in Jamaica Bay area in past year
P. Diddy ‘Kept Meticulous Records’ of His Parties and ‘Has Enough Dirt to Hang Half of Hollywood’
Just like Epstein, there is a list and video. Why has Epstein’s real list and video never been disclosed? From the lawsuits, it appears many A-List celebrities took part in horrific activities against both men and women at Diddy parties. Those conspiracy theorists believe the raids were done to protect those on the list. If it never sees the light of day, it will be hard to argue that point. Also of note, Diddy had strict weight limits for the women who participated and always had a scale near by.
I’m a stomach doctor — this nutrient is key to good gut and liver health
Some people with ADHD thrive in periods of stress, new study shows
How I turned ChatGPT into my tour guide in Italy
ChatGPT can do many things. More companies are turning to it rather than going to an analyst. Be creative and start using it for assistance.
Does masculinity shorten lifespans? This study suggests ‘manly’ men at higher risk of heart problems
The findings suggest that societal pressures on men to appear strong and self-reliant may be inadvertently encouraging them to avoid seeking medical help or acknowledging health problems.
Cuddle time capped: New Zealand airport limits goodbye hugs to 3 minutes
Norwegian scientists uncover disturbing details about 800-year-old corpse dumped in castle well
It may have been done to contaminate the King’s water supply.
Aliens ‘could be wandering around Earth right now’, Elon Musk claims
Real Estate
This NY Post article outlines 2023 migration data, “Here’s how many New Yorkers fled the Empire State in 2023, according to Census data.” Yes, the migration has slowed, but NYers continue to leave in droves and head to Florida for good reason. 480k NYers left and 300k new residents came into the state for a net outflow of 180k. This is an improvement from the 244k net outflow from 2022.
On the migration front, I have written about the challenges for those moving to South Florida in the past couple of years. Finding a house for a reasonable price is one major issue, given housing costs have tripled or quadrupled in recent years. However, the bigger issue for families is getting kids into quality schools. Despite the massive wealth migration, there have been a very limited number of new schools opened. As a result, getting your kid into a top school is very challenging. You may have a chance getting one kid in, but getting multiple kids into the same school is difficult. This NY Post article, “Ken Griffin’s biggest problem in moving Citadel from Chicago to Miami is not what you think,” is about the challenges of private school admission. With major firms opening offices from Miami to Palm Beach, the demands for the best schools are skyrocketing, creating a massive supply/demand imbalance. Business Insider reported that Miami’s population of millionaires spiked a whopping 78% over the past 10 years (citing the firm Henley & Partner), all of which has put a huge strain on the area’s upscale private school infrastructure. Top South Florida schools in my opinion: Ransom Everglades (Miami), Pine Crest (Ft. Lauderdale/Boca), Gulliver (Miami), American Heritage (Plantation/Delray), NSU (Davie), Benjamin School (Jupiter), Saint Andrews (Boca) and a few others.
This WSJ article, “Wealthier Americans Are Paying Millions to Age in Luxury Campuses,” is an interesting read. I have been to some Senior Living homes and they are quite depressing. Spending later years at this community, Vi at Palo Alto, comes with a price tag that starts with an upfront payment that can range from $1.17 million for a one-bedroom apartment and up to $7.3 million for a three-bedroom unit. Ongoing monthly fees up to $13,800 cover services such as housekeeping and valet parking, and amenities. Residents can attend lectures by professors of nearby Stanford University or a performance by opera singers. For wealthier Americans, greater options exist for how to spend their later years. A growing crop of high-end communities, called life plan communities, allow residents to start in an apartment and then move to more nursing-like care as they age. Occupancy rates are rising, with the rate in the independent living units above 80% today, according to NIC MAP Vision, a data source for senior housing research. Some of these places have 5 year wait lists. I am 55 next month. It won’t be long before I need to put my name on the list!
This NY Post article, Inside NYC’s priciest ‘slum’ — an apartment building boasting nearly $4K rents filled with ‘mold, rats,’” paints a bleak picture. Multiple residents of the battered Bushwick site on Starr Street say they are paying nearly $4,000 a month to live with rat feces on the countertops, moldy ceilings and leaky roofs in the trendy area — causing them to form a tenant union to fight the alleged slumlord who owns the place. The Starr St. Union is taking organized tenant and legal action against the owner of Cayuga Capital Management Ventures, Jacob Sacks, who has at least 21 buildings in the area.
His properties have an average of two open city violations per residential unit, worse than the citywide average of 0.8 per unit, according to data from JustFix.
© 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™ #730 ©Copyright 2024 Written By Eric Rosen.
