Fellow Beyonders/Investors/Real Estate tycoons/E-Ballers!
I have been posting a bit about our development in Strathmore in that Fort McMoney2 thread and some RRSP threads lately and thought I'd finally offer up the whole information to those of you looking for a serious return investment opportunity.
I have generated a lot of interest already from a few of you on here and one of your beloved mods has already invested. Here are the main points summarizing our development.
------ We (Cancorp Property Group,
www.cancorppropertygroup.com) have 226 acres of land in Strathmore, Alberta, located 40 km east of Calgary. We bought the land 2 years ago and will have the development permits this July, where we will be breaking ground immediately afterwards. This is the last quality piece of land to be developed in the town limits.
------ We are raising $19.5 Million ($9 million already raised since January '08) to service phase one into 462 lots to sell to the builders eager to get into Strathmore. It has a population of 13,000 with infrastructure for 40,000 including a full hospital and many bigger city amenities minus the negatives.
Here is the site plan:
Here is the current aerial photo of the actual land. The space next to our site is the golf course:
------ The 19.5 Million is being raised through a syndication of private investors (you). Minimum investment is $10,010; A $10,000 rsp eligible, land secured 5yr bond at 8% and $10 in shares of the development totalling 35% of the profit. Total return is
conservatively projected at 27%/yr or it's also broken down as follows:
$10,010 investment will net you $23,758 total, including initial investment. This is a %137 ROI over 5yrs including the 8%/yr returning bond. Again, an annual rate of return of 27%
------ There are 3 ways to invest:
1. Transfer existing rsp's to our bond. This way there is no major cash drain and it's the easiest way to begin investing
2. Make a new rsp contribution.
3. Cash investment. This is the best way if you want your return AND initial investment to be accessible for future investing
TAX BENEFIT
This investment also has a tax benefit as the shares are taxed as a dividend income at a top marginal rate of 14.6% instead of your standard income bracket.
TIME FRAME
We are syndicating Phase 1 and although the bond maturity date is 5yrs, we are in the ground this summer and are more realistically looking at a 2-3yr term.
DEADLINE FOR INVESTMENT
Obviously this is a pressure-free opportunity, the only deadline being once we've raised the full 19.5 Million, the opportunity is closed. That is for Phase 1. I would not recommend waiting for Phase 2 if you have the means to invest in the first as we may not even require additional funding to servive phase 2. We will be self sufficient with the revenue/profit generated from this current phase.
STRATHMORE
Sleeper communities are becoming much more desirable as Calgary grows and with all the new industrial development east of Calgary, many employment opportunities will present themselves. Strathmore is prime real estate for this influx and the builders recognize this. We haven't committed to the interested builders as we want to maximize the value of the land before selling to them. This is in the best interests of ours and the investors. It also allows us to plan how we release the lots as we do NOT want to flood the market. The community is working side by side with us to make this happen quickly, properly and efficiently as they are in NEED of lots and growth. Visit
www.strathmore.ca for more info and to see what a great community it is shaping up to be!
FUTURE OPPORTUNITIES
Many of our investors have been following us from past projects and they continue to roll profits over and over. This is a perk we are offering as we always have new deals/developments in the works. Hassle free investing is what people have come to expect from us. Returns may vary from project to project but quality profitable developments have been our M.O. from day one.
PAST DEVELOPMENTS
Here are a few other residential developments we have done in Alberta that many of you will recognize:
Penhold Army Base Development near Red Deer
Paradyme Condos 15th Ave and 9th St. SW
205 Riverfront condos in Eau Claire
For more details, again visit
www.cancorppropertygroup.com where you will also find information on our company, all of our past projects and the principals involved.
If you have personal/private finances questions or need flexible investing methods, feel free to PM me.