NIMBY and local scrap yard

rdz · #1 (**permalink**) 12-30-2005, 08:23 AM

There is a very interesting article in this weeks American Metal Market's weekly publication about the pressures being put on the smaller, local scrap yards by their neighbors to "move out." The Not In My Back Yard mentality, and local governments growing use of eminent domain is forcing the local scrap yards and auto wreckers out of the neighborhood in favor "silk-pursed developments like offices, shopping malls and parks..."

With the growing globilization of the scrap market, is this really a good idea?

Robert Kulinski · #2 (**permalink**) 12-30-2005, 09:18 AM

It's a "push me pull me" kind of thing. A lot of the local scrap dealers are selling out to bigger corporations for big $$. A lot of them are located in older neighborhoods that are in the process of gentrification and the land under the scrapyard is worth a fortune although most of the time it is contaminated and can't be built on. Look at one of the hottest neighborhoods in Baltimore, Canton. 14 foot wide, 2 bedroom 1 bath rowhouses are selling for upwards of $715,000 (that's what my buddy sold his for earlier this month. Tell me he didn't have a good Christmas!). Right in the middle of the neighborhood is a scrap yard (albeit now a former scrapyard). They have to do something with it. To the east of that neighborhood is a huge scrapyard that is blocking development from travelling in that direction. I think these a lot of these scrap dealers are crying poor (imagine that) but are really getting sweetheart deals.

rdz · #3 (**permalink**) 12-30-2005, 12:04 PM

So if all the little guys sell-out to the Wal Mart's of scrap, where am I supposed to take my pickup truck load of copper for cash?

Robert Kulinski · #4 (**permalink**) 12-30-2005, 04:29 PM

I think the Wal Marts of the scrap world will still take your copper they just won't pay you as much.

**James** · #5 (**permalink**) 12-31-2005, 01:21 AM

Quote:

Originally Posted by Robert Kulinski

It's a "push me pull me" kind of thing. A lot of the local scrap dealers are selling out to bigger corporations for big $$. A lot of them are located in older neighborhoods that are in the process of gentrification and the land under the scrapyard is worth a fortune although most of the time it is contaminated and can't be built on.

I have to agree! I have seen some dealers lately selling off there scrap and processing equipment, then the very next day there is a for sale sign going up or there is an announcement that some developer is building 10 condos at 500K a piece.

It goes back to the old supply and demand.

Robert Kulinski · #6 (**permalink**) 12-31-2005, 06:36 AM

Slightly OT but still keeping with the NIMBY, in the same neighborhood I was referring to in an earlier post, they renovated an old can manufacturing plant. Ray Lewis leased a space in there and put in "Ray Lewis's Full Moon Barbeque" restaurant. Now, the yuppies who bought the houses behind it are suing because they can't sit out on their rooftop decks without smelling the smoke from the barbeque.