Speculators Eye Housing-Market Land

Land in undeveloped residential areas is enjoying a spike in demand as some onlookers see a comeback in the American housing market. “We are coming out of the mother of all housing cycles, and residential land is the best way to play the ultimate recovery,” said Paulson & Co. portfolio manager Michael Barr. With sales of single-family homes up more than 3.5 percent in July and foreclosures bottoming out, hedge funds and investment firms seem to think it may be time to turn the cheap land they bought as the housing market tanked back into cash.