"We’re not speculators. We’re investors.” So says the CEO of a real estate trust that recently sunk some $170 million into 22 charter schools. Which got me wondering: why charter schools? How do they end up looking like sound investments?--Daniel Wolfe, "Speculating on Education"
Some of you may recall...
A couple of years ago, a post of mine, shining the light on hedge-fund "school reformers" like Whitney Tilson who bankrolls the DFER organization, created a little tiff. Short-seller Tilson cynically made fun of my notion that there were profits to be made in the world of charter schools.
“Trying to make a killing in the charter school business”?! Yeah, that’s right, the charter school business is so profitable that I’m telling all my friends in the hedge fund business that they’re in the wrong business. My message: “If you really want to make a lot of money, start a charter school!” LOL!LOL indeed. Fast forward to--well, how about right now?
Here's Entertainment Properties pitch to potential investors:
We are in this business because we know that charter schools are a successful educational model that achieves what educators and the public expect of schools. Entertainment Properties Trust provides stable financing so educators and school administrators can focus on curriculum and instruction, enrollment targets and the challenges of delivering an education to meet the needs of students and the desires of parents. As a result, our charter school partners obtain a competitive advantage, especially during the early growth phase.Any questions?
This show the real motivation behind DFER, Bloomberg, Gates & Broad. This is the dawning of the age of corporatism in (what used to be) public education.
ReplyDeleteWhat's the difference between speculators and investors when it comes to public education?
ReplyDelete