Hedge Funders Are Building Huge Barricades To Protect Their Hamptons Mansions From Washing Away
The New York Times Michael Schwirtz reports:
...Joshua Harris, a billionaire hedge fund founder and an owner of the Philadelphia 76ers, began to fear that his $25 million home on the water here might fall victim to the next major storm. So he installed a costly defense against incoming waves: a shield of large metal plates on the beach, camouflaged by sand.
His neighbor, Mark Rachesky, another billionaire hedge fund founder, put up similar fortifications between his home and the surf. Chris Shumway, who closed his $8 billion hedge fund two years ago, trucked in boulders the size of Volkswagens.
But there's another storm brewing in Southampton, though.
According to the report, there are concerns amongst locals that these fortifications designed to protect these multi-million summer homes could actually speed up the erosion of public beaches.
Beaches in front of dunes in the Hamptons are open to the public, the report said citing local laws. The property behind the dune belongs to the homeowner.
"All these people are extremely rich and they’re broadcasting the message of 'Me first,'" Fred Havemeyer, a member of the Town of Southampton board of trustees told the NYTimes.
Harris is the co-founder of Apollo Global Management. His wall cost about $50,000, according to the NYTimes.
Rachesky runs MHR Fund Management. Shumway was a so-called "Tiger Cub" fund manager.