Harrah's sold as credit crunch adds risk!

Harrah’s stock (HET) that was acquired 10/2/2006 after the equity buyout announcement was sold yesterday. The original trade was at $75.5 which was well below the buy-out price – for some reason wall street was skeptic and my thinking at the time was that it would get done and so chance of reasonable return with minimal risk over a period of 1 year. Yesterday, decided to sell it mainly because of the belief that there is more risk for the deal to get done, given the credit crunch. The cash was used to buy St. Joe’s companies which had come down ~50% from its peak because of concerns about the housing market and concerns on the value of the Florida land - low price yields (~2K/acre) on the 100K acres disposed off in the last year and concerns that some of the land is swamp and so has very little value. This purchase was done without doing a lot of research – it was noticed that a mutual fund (HWMIX) that specialized in mid-cap value plays was holding this stock and was showing a big loss for the year. This stock was previously in my radar as an asset play because of its ownership of ~800K acres of Florida land. Today, it popped about 5% and the profit was taken.