Strathmore Investment/Development Opportunity

[triplep]

Originally posted by BigMass
what ever happened to ZorroAMG ... he hasn't posted in almost a year

Probably in Cuba on the beach

[Type_S1]

Does anyone know him personally? It so, please kick him in the nuts about 10,000,000 times.

[BigMass]

I thought he was a mod and an OG forum member. I remember him from way back. I also thought many here knew him IRL so I find it odd someone like that, in such a position, would have the nuts to do something intentionally fraudulent without fearing some sort of community wide repercussions. I mean look at all the other threads where someone go scammed on a relatively minor level and the huge backlash. I've seen zero backlash against ZorroAMG. (if what people say is true)

[G]

Well to be fair it hasn't been proven to be a scam yet. He probably didn't fully understand what it was at the time either.

[BananaFob]

Originally posted by G
Well to be fair it hasn't been proven to be a scam yet. He probably didn't fully understand what it was at the time either.

While not every real estate syndication is a scam, I've seen too many spectacular fails in my career to EVER invest in one.

[roopi]

Sorry guys I didn't mean to bring this up in an attempt to start bashing Zorro. I have actually met him many times and he is a good guy. I'm pretty sure a lot of people on this forum know him personally as well.

I believe he's actually an actor now in Vancouver or California.

[TYMSMNY]

Originally posted by G
Well to be fair it hasn't been proven to be a scam yet. He probably didn't fully understand what it was at the time either.

I think his Dad is the investor behind the scenes. The head on the investment product.

[realazy]

I bought into this as well 5 years ago, but I'm not too worried. The actual development is happening and there's updates every quarter.

The real estate market is not the greatest and the sales of the lots are slower than expected.

It's not the worst thing in the world.

My parents bought into the development of the Evanstan area (Symons Valley) with Walton 20 years ago and they only started paying out a few years ago.

[roopi]

Originally posted by realazy

My parents bought into the development of the Evanstan area (Symons Valley) with Walton 20 years ago and they only started paying out a few years ago.

So how does that work? Are they paid for all those years when they received nothing?

[max_boost]

Zorro is quite busy with his acting career but still took the time to answer my questions regarding the investment.

It's unfortunate it hasn't worked out so far (meeting the deadline/payouts). The investment made sense to me (at least) at the time so that's why I jumped in.

Well, time will tell where it goes!

[buh_buh]

Originally posted by triplep



Probably in Cuba on the beach

you can only live off $10k for so long, even in Cuba

[realazy]

Originally posted by roopi


So how does that work? Are they paid for all those years when they received nothing?

That one in particular is paying profits on the development based on working interest. The principle has been paid off and we get payments every year based on profits. This one isn't really the greatest investment, but I'm not sure of the rate of return as we're still getting payments as Evanston develops. There should be a lump sum once Evanston is completely developed.

Another example is a plot of land we had in the SE industrial area where it sold as a whole, every working interest owner just got paid x% of the sale price. This one worked out to be about 600% ROI in ~15 years.

It's definitely not an investment for people who need cashflow, it's more of a put it away and not think about it type of investment.

[sabad66]

Classic beyond... Hang the guy before even listening to his side of the story.

[01RedDX]

.

[max_boost]

Don't think anyone is really throwing him under the bus here. End of the day the project hasn't met its deadlines and promises. Even right now there's not really a time frame on things either. With that said, I didn't really know what I was getting into and I'm sure many others can relate. Too easy I suppose and there's no free lunch. Although I am a bit more optimistic after what realazy posted haha

[KappaSigma]

Originally posted by max_boost
Nope. Nothing yet for the Wild Flower Ranch project but homie ZorroAMG has assured me, it's all good. lol I hope so!

Anyway, I actually haven't driven by that project but AFAIK it's there for sure. But long story short, I guess people aren't moving to Strathmore? People aren't buying that development?

Anyway, my initial investment was $10K.

8% bond/5years. So I've paid taxes on that $800/year T5 but without actually seeing any money in my pocket.

At the time, I was told my $10K ------ > $23K at the end of 5 years if things went well.

At this point, I be happy with my $10K back. haha

http://www.wildflowerranch.ca/

Damn 5 years goes by fast!

Wtf. Why are you paying tax or getting a t5. Just like a bonus, dividends or interest you should only be getting a t slip when actual cash is paid and received....not accrued.

[Tik-Tok]

Originally posted by 01RedDX


You'll notice his last post was in February, but he deleted it last month, which is kinda weird. How often do you go back to delete a post you made a year ago?

With the thread context... probably on the advise of a lawyer.

[roopi]

Originally posted by KappaSigma


Wtf. Why are you paying tax or getting a t5. Just like a bonus, dividends or interest you should only be getting a t slip when actual cash is paid and received....not accrued.

This is what I was assuming too. Seems really odd to pay tax on money you are receiving. I don't understand why they would be even issuing you a T5. So weird...

[max_boost]

Originally posted by KappaSigma


Wtf. Why are you paying tax or getting a t5. Just like a bonus, dividends or interest you should only be getting a t slip when actual cash is paid and received....not accrued.

You guys believe me right. I don't need to post the T5 slips do I lol

[Kari_310]

Per the CRA, "You have to prepare T5 slips each year for all investment contracts acquired after 1989. You have to prepare these slips annually even if you did not pay the interest. "

I've also called the CRA asking about this as well, you have to included the accrued interest in the year it was earned regardless if it was paid to you or not.