After Selling His Software Business for a Sizeable Profit, Software

After selling his software business for a sizeable profit, software engineer Gus Greene decided to try something different. He would become a general contractor on a large condo development in an upcoming area of Atlanta, Georgia. He invested several million and then borrowed another $30 million (or 75% of the project cost) from a lending institution. He based his borrowing risk on the assumption that the housing market would continue to appreciate for several years to come. As the housing market began a free-fall in early 2008 and continued into 2009, Gus saw his business crashing around him. Sales were very meager and the bank wanted its money back. Which of the following statements might best describe the reason Gus' business failed?

A) Although Gus took some risk, it wasn't enough. In business, it is "more risk, more expected reward!"
B) The bank let Gus down. It should not have lent him that much money.
C) He should have designated himself as a passive investor. Therefore, his investment would not be in jeopardy
D) Gus went into the business with very little knowledge about the industry or the market.