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Politics : WAR on Terror. Will it engulf the Entire Middle East? -- Ignore unavailable to you. Want to Upgrade?


To: Scoobah who wrote (9971)9/21/2005 2:16:15 PM
From: DeplorableIrredeemableRedneck  Read Replies (3) | Respond to of 32591
 
When the Landlord Is Muslim
Steve Ruark for The New York TimesThe Transpoint Building in Washington sold in accord with Islamic law, or Shariah.

nytimes.com

Most transactions are still conducted the conventional way, but some real estate specialists say there is a growing appetite among investors for deals that conform to the rules of the Koran. Adhering to Shariah, or Islamic law, can determine how a project is financed - riba, or interest, is prohibited, for example - and also generally means excluding such tenants as bars, mortgage lenders and video stores.

No one knows just how much capital from the Persian Gulf states is finding its way into real estate in the United States. "This capital is very difficult to track as many Middle Eastern buyers work hard to maintain their confidentiality," said Robert M. White Jr., the president of Real Capital Analytics, a research firm in New York.

And Shariah-compliant investing is still in its infancy. But "a lot more people are talking about it," said Steven J. Adelkoff, a real estate lawyer at Kirkpatrick & Lockhart Nicholson Graham in Pittsburgh, one of a handful of American lawyers with expertise in this field. "In the past 18 months I've had more inquiries than ever before."

Yusuf Talal DeLorenzo, an American Shariah consultant who helped set up the Dow Jones Islamic Markets Index, said that this type of investing caught on only after it was shown to be just as profitable as conventionally structured investments. "Most people feel that if I have choice - all things being equal - I'll take Shariah," he said of Islamic investors. "Then I can sleep at night."

As a sign of increasing interest in this subject, about 100 people, including asset managers and consultants, gathered at the Yale Club in New York this month for a daylong seminar devoted to Shariah-compliant investing.

Among the speakers was Mustafa E. al-Saleh, the managing director of the Adeem Investment Company, which has invested capital from affluent Kuwaiti families in an alcohol-free health spa in Germany using Islamic bonds known as sukuk.

The audience also heard from representatives of CB Richard Ellis, which is trying to establish a fund that would invest in distribution centers near busy ports. David Friedman, a senior adviser, said such a fund would more easily mesh with Shariah restrictions than many other types of investments.

Before a deal can go through, lawyers like Mr. Adelkoff and Michael J. T. McMillen, a partner at Dechert, who is considered a trailblazer in Islamic financing, seek the approval of scholars who serve on Shariah boards. There are about a dozen leading scholars, and they often disagree as to what is permissible.

Shariah-compliant investing sometimes makes for strange bedfellows. Last year, for example, the seven-story Transpoint Building in Washington along the Anacostia River, where the United States Coast Guard has its headquarters, was sold for $90.5 million to a Kuwaiti financial institution known as the Securities House.

Like nearly all Shariah-compliant commercial real estate deals, the Transpoint purchase was set up as an ijarah, or lease, said Isam Salah, a lawyer at King & Spaulding in New York, who represented Securities House. A company was created for the purpose of holding title to the building and entering into the $67 million mortgage, Mr. Salah said.

A second company controlled by the investors leased the building through the ijarah and is making payments that match the debt service. The investors' company has the right to acquire the building at any time.

Having a single tenant like the federal government eliminates the risk of renting to the wrong sort of tenant. Activities that are considered improper in a tenant include the making and distribution of alcoholic beverages, products derived from pork, pornography, cigarettes and - although Mr. McMillen said there was disagreement over this point - guns. Gambling is also forbidden.

Many creditworthy tenants, like banks and financial services companies, that other landlords are eager to sign would not pass muster with the Shariah boards.
If Bank of America, for example, "is a sizable tenant in an office building, that's a building we can't invest in," said C. MacLaine Kenan, a director of Arcapita, a company with headquarters in Bahrain that has made $4 billion worth of Shariah-compliant real estate investments. Mortgage lenders and brokerage firms that extend credit to clients are also viewed as inappropriate tenants.

Shopping centers and malls can also present problems if their tenants include movie theaters or, as is almost certain to be the case, restaurants that serve alcohol. But specialists say that if the revenue from an unacceptable tenant is minimal, the deal might still be permissible, as long as the money is donated to charity in what Mr. DeLorenzo calls a "purification process."

Craig Friedman, the founder of Arch Street Capital Advisors, a Greenwich, Conn., company that advised Securities House on the Transpoint Building deal, said that a small amount of revenue could be allocated to a partner so that the Shariah-compliant investor never sees it.

Over the years, investors from the gulf states have bought a number of American hotels - the latest being the Essex House in Manhattan, purchased this month by the Dubai Investment Group, a division of Dubai Holding, for $500 million - but so far these deals have not been Shariah-compliant. A bar is considered essential to a hotel's success, which puts the lodging sector out of bounds.

But Mr. McMillen said a Shariah board once approved a hotel investment he worked on because the bar was isolated as a separate condominium that would not be part of the deal. The transaction fell through for other reasons, he said, so no fatwa, or official decree, was issued.

Taking a similar approach, Arcapita recently invested in a 60-story condo hotel and condominium project that is being developed in downtown Chicago by Elysian Development Group. "We don't own any of the common space," said Mr. Kenan, who is based in Atlanta.

Apartment and industrial buildings, self-storage centers and buildings leased to a single tenant pose the fewest obstacles to Shariah compliance, according to specialists. In joint ventures with two American real estate investment trusts, Arcapita has invested in 74 Shurgard Self-Storage properties in Europe and 78 ProLogis distribution centers in the United States.

Before it went public last year, U-Store-It, a self-storage company based in Cleveland, was approached by Arcapita and Arch Street Capital, said Steven G. Osgood, the president. "One of the reasons they like self-storage is that we do not have access to any of the tenant units," he said. "It's almost like the military - don't ask, don't tell."

The next step may be REIT investments themselves. Since the 1990's, the scholars have authorized investments in companies that earn some interest. That change has paved the way for investment firms to try to create mutual funds made up of REIT stocks approved by Shariah scholars.

Eric Meyer, a hedge fund manager and the organizer of the conference at the Yale Club, said he worked with the scholars to develop tests that could allow as many as 100 REIT stocks to qualify for a fund that he hopes to set up next year.

"Even if you're pouring tremendous amounts of money into real estate in Dubai," he said, "you're going to want to diversify."



To: Scoobah who wrote (9971)9/22/2005 10:24:05 AM
From: paret  Respond to of 32591
 
MacArthur Foundation --The Loathsome Left continues its attempt to destroy Israel.

Morbid Philanthropy (the vicious lies of the Left, continued)
Campus Watch ^ | 9/22/05 | Lappen

Morbid Philanthropy [on the Macarthur Foundation's support of Middle East Studies]

In its 2004 annual report, the John T. and Catherine D. MacArthur Foundation notes that it has "invested more than $400 million in pursuing a more secure world." After the Cold War, the foundation sought to prevent "nuclear weapons ... from falling into the wrong hands." The "Age of Terror," however, has urgently refocused MacArthur on its "duty" to understand "transnational terrorists," who they are, how they are organized, how they gain "moral, political and economic support"—and what "resentments and frustrations" drive them "to perpetrate terrorist acts." [1]

From this departure point—the wrongheaded belief that frustrations drive terror—it is a short leap to seeking a scapegoat. It explains the foundation's tendency, where the Middle East is concerned, to shower gifts upon researchers, universities and quasi academic institutions with an anti-American or anti-Israel bent. In doing so its grants cross the line into overt political advocacy.

Favorite Middle East grantees include "human rights" and "law" efforts with anti-American attitudes. [2] A $250,000 grant in March 2003 to Human Rights Watch "to monitor the human rights impacts of the war in Iraq" focuses primarily on U.S. rather than terrorists' "human rights violations." [3]

But studies of "Palestine" seem to be a foundation specialty. In October 2000, $51,000 was directed to the Institute for Palestine Studies—hardly a disinterested party—for a nine month study of "Palestinian Refugee Property Losses and Resolution of the Israeli-Palestinian Conflict." The grant evidently backed anti-Israel Randolph-Macon College history professor Michael Fischbach, who published a paper on Palestinian refugee compensation in its Journal of Palestine Studies. [4]

An October 2001 grant of $50,000 to the University of Chicago—to study "The Palestinian Defeat of 1948" and the "Lingering Impact of the Lack of State Structure"— was also typical, as was a $90,000 grant in September 2001 to the International Institute for Strategic Studies. [5] The latter was funneled to its London Middle East Research Programme, then headed by Cambridge professor and former Palestinian negotiator Yezid Sayigh.

Headed by IISS "research fellow" Nomi Bar-Yaacov, the program established a caucus to lobby for third-party involvement in the Arab-Israeli conflict and hosted the architects of the Geneva Accord. Bar-Yaacov herself received a $75,000 grant in October 2001 for an 18 month study of "New Strategies and Mechanisms for the Protection of Human Rights in the Disputed Areas in the Israeli-Palestinian Conflict." [6]

MacArthur has gifted academics with much larger sums as well. Tel Aviv University professors Nadim N Rouhana and Yoav Peled in October 2002 received $50,000 each to study "Palestinian Refugees and the Right of Return." [7]

Peled has unfortunately had a broad impact in American institutions: In 2003-2004, he was a visiting fellow at the Rutgers University's Center for the Critical Analysis of Contemporary Culture and its Center for Middle Eastern Studies [8] and a visiting scholar at the Center for Israel and Jewish Studies at Columbia. [9] He has had frequent speaking engagements and news conferences, in which he espoused a pro-Palestinian view. [10]

Rouhana, a self-described "strong anti-Zionist" and Palestinian Israeli who supports "a bi-national state in Palestine," [11] has likewise left wide anti-Israel tracks in U.S. educational institutions. Currently a professor at George Mason University's Institute of Conflict Analysis and Resolution, [12] he was in 2004 a visiting associate professor at Tuft's Fletcher School of Law and Diplomacy and previously a senior visiting fellow of Harvard's World Peace Foundation-International Security Program. [13] He too is on the anti-Israel speakers' circuit. [14]

MacArthur also granted an award to Sara Roy, [15] whom scholar Martin Kramer calls a "perennial" senior research scholar at the Harvard University Center for Middle Eastern Studies. Her research purported to demonstrate that Palestinian Islamic movements in the West Bank were "moving toward a more pragmatic and non-confrontational philosophy." [16]

Roy believes that Israeli soldiers are "equivalent in principle, intent, and impact" to Nazis. She even blames suicide bombings on "the occupation." [17] But her renown garners her speaking engagements and invitations to symposiums nationwide. [18] Her work has been noted in advisories to the U.S. armed forces. [19] And she often writes in the Arab and academic press. [20] In one recent article she alleged that Israel intentionally wrecked the Palestinian economy. [21]

When it comes to understanding the Middle East, the MacArthur Foundation seems determined even to misapprehend the past. A five-year $500,000 genius award in 2004 went to Maria Mavroudi, an assistant professor of history at the University of California at Berkeley who insists that the Arabic world enriched Byzantine civilization rather than the other way around. [22] In fact, as Speros Vryonis Jr. shows conclusively in the encyclopedic Decline of Medieval Hellenism in Asia Minor and the Process of Islamization from the Eleventh Century through the Fifteenth Century, far from enriching Byzantium, its Islamic conquest, transformation and conversion to Islam raped, pillaged and impoverished an entire civilization. [23]

The Macarthur Foundation is an unacknowledged NGO with a unacknowledged anti-American and anti-Israeli agenda. Its support for children's TV programming notwithstanding, the Macarthur Foundation's influence on America's understanding of the Middle East has been disastrous.

Alyssa A. Lappen is a writer based in New York. She wrote this piece for Campus Watch, a project of the Middle East Forum designed to critique and improve Middle East Studies.

[1]John T. and Catherine D. MacArthur Foundation, 2004 annual report, pp. 6-9.

[2]The Palestinian National Charter, 1968; The Palestinian Authority Constitution, Apr. 5, 2003; Khaled Abu Toameh, "Queri: Today Gaza, tomorrow Jerusalem," Jerusalem Post, Aug 4, 2005.

[3]"Iraq: US checkpoints continue to kill," Human Rights News, May 5, 2005; "Abu Ghraib: only the 'tip of the iceberg'," Human Rights Watch press release, Apr. 25, 2005; "Getting away with torture? Command responsibility for the US abuse of detainees," Human Rights Watch press release, Apr. 23, 2005; Joe Stork, "Give 'Chemical Ali' his due, fairly," The Daily Star, Feb. 26, 2005;

[4]Michael R. Fischbach, "The usefulness of the UNCCP archives for Palestinian refugee compensation/restitution claims," Stocktaking Conference on Palestinian Refugee Research, Ottawa, Canada, June 17-20, 2003.

[5]http://macfound.org/grants/gss/2001/gss2001_7_1.htm

[6]Ibid, macfound.org .

[7]http://www.macfound.org/grants/gss/2002/gss2002_7_1.htm

[8]http://www.watsoninstitute.org/news_detail.cfm?id=162

[9]http://www.columbia.edu/~bwr2001/

[10]"Prospects for Peace with Justice: Israeli and Palestinian academics speak their minds," Political Economy Research Institute, University of Massachusetts, Oct. 22, 2003; "A road map to where," State University of New York at Stony Brook, Apr. 21, 2004; "Israeli media artist and political scientist discuss conditions of production there," The Thing, New York City, Jul. 21, 2004; "Alternative voices in the Middle East," International Affairs Building, Columbia University, Nov. 20, 2004; "War in the Middle East: the case for a just and realistic peace between the Israelis and Palestinians," Tufts University, Apr. 22, 2002; levantinecenter.org; "Faculty for peace," Mount Holyoke, Apr. 23, 2002; Jane Adas, "The fate of Jerusalem: 'An inevitable tragedy'?" Washington Report, January/February 2005, pp. 50-51; "No Arab Jews there: Shas and the Palestinians," Transregional Institute, Princeton University, Mar. 5, 2004; "The Or commission and issues of ethnic democracy," Watson Institute for International Studies, Brown University, Feb. 3, 2004; pioneer.csuhayward.edu; "Israeli and Palestinian fringe elements have worked to undermine the Oslo process, says Peled," Columbia University, Apr. 25, 2002.

[11]Nadim Rouhana, "Third world views of the Holocaust," Northeastern University Symposium, Apr. 18-20, 2001.

[12] icar.gmu.edu

[13]http://bcsia.ksg.harvard.edu/person.cfm?item_id=811&ln=alumni&program=ISP

[14]Harriet P. Epstein, "Platform for extremist," Letters, Jewish Journal of Greater Los Angeles, Jun. 3, 2005; "New voices from Palestine," University of Wisconsin at Madison, Nov. 19, 2002; "Israeli views on the refugees problem and the right of return: between denial and guilt," Trans-Arab Research Institute, Massachusetts Institute of Technology, Dec. 5, 2000; web.mit.edu; "Beyond signing of peace agreements: social-psychological perspectives on reconciliation and peace building," International Society of Political Psychology, Seattle, Washington, Jul 1, 2000;

[15]http://www.fas.harvard.edu/~mideast/scholars/associates.html

[16]Sara Roy, "The transformation of Islamic NGOs in Palestine," Middle East Report, #214,m Spring 2000.

[17]Sara Roy, "How to stop Hamas: first end the occupation," The Daily Star, Jun. 20, 2003.

[18]"On Dignity and Dissent: Reflections of a Child of Holocaust Survivors," Monmouth University 3rd Annual Global Understanding Convention, Mar. 24, 2004; "The Palestinian-Israeli conflict and its impact on Palestinian society," Congregation Eitz Chaim, Jan. 9, 2005; "Palestinian-Israel Crisis: An Analysis," University of Delaware, Feb. 21, 2001; "From Oslo to the Road Map: Explaining the Failure of Peace in the Middle East," DePaul University, Mar. 6, 2004; "Is there a new blacklist," Apr. 13, 2005, see also columbia.edu; Martin Kramer, "Professors of Palestine," Middle East Quarterly, Winter 2002; Seth Wikas, "Both sides of the story," Daily Princetonian, Apr. 23, 2001; Friends of Sabeel North America, Apr. 12-13, 2002;

[19]Stephen Pelletiere, "Hamas and Hezbollah: the radical challenge to Israel in the occupied territories," Strategic Studies Institute, U.S. Army War College, Nov. 10, 1994.

[20]Sara Roy, "Palestinian society: the continued denial of possibility," Journal of Palestine Studies, Summer 2001, Vol. 30, No. 4, Issue 120; Sara Roy, "Using war to swallow Palestinian land," The Daily Star, Sept. 23, 2003, see also lebanonwire.com; Roy, "The Palestinian state: division and despair," Current History, Jan. 2004; Roy, "A Nightmare Peace Destroying the Basis of a Palestinian State" Palestine-Israel Journal of Politics, Economics and Culture, Vol.11 No.1 2004 .

[21]Ibid.

[22]The MacArthur Fellows Program, Maria Mavroudi, 2004.

[23]Speros Vryonis Jr., Decline of Medieval Hellenism in Asia Minor and the Process of Islamization from the Eleventh Century through the Fifteenth Century, (1971, 1986), pp. 69-142, 143-288, 351-402.

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The Loathsome Left continues its attempt to destroy Israel.