It wouldn't surprise me at all: - His cost of capital is undoubtedly very low. Lending $4-5m to someone with that much money (and secured on property!) is pra

It wouldn't surprise me at all: - His cost of capital is undoubtedly very low. Lending $4-5m to someone with that much money (and secured on property!) is practically risk free. - He probably has access to a lot of good investment prospects. - Tax breaks on mortgages will make the gap between cost of capital and likely return even larger.