Post on 27-May-2018
transcript
Philip C. Pincus
President
Over 25 years of experience in real estate, accounting, and business
management .
Cynthia Assen
Director of Marketing
Over 20 years in real estate sales, development & management .
APT Investments
Who We Are
Our goal
Monthly cash Distributions
Double your investment in 5 years
• Protect investor capital (Title in Your name)
APT Investments
APT means Buying RightWhat We Do -
Actively monitor emerging markets –
KNOW WHEN THE TIME IS RIGHT!
Taking advantage of opportunities and negotiating best terms –
BUY RIGHT!
Leverage preserves your cash –
Build a portfolio of the RIGHT assets
Achieve “better than marker returns” -
Positive cash flow
Buy the best quality -
The RIGHT price in the RIGHT markets at the RIGHT time
Hire the RIGHT professional property management -
Right tenant equals lower turnover and less cost
APT Investments
APT means Buying RightWhat We Do -
Invest in revenue-generating real estate properties; primarily residential
Investors participate as Owners – title in your name
No participation in day-to-day operations – if you elect optional rental pool
Leased to creditworthy tenants - Property manager will perform credit check and background references
APT will monitor Property Manager – position on Condo Board
APT Investments
How We Do It
APT Investments
1. Overview
2. Location
3. Features
4. Floor Plans / Pricing
5. Market Info
6. ROI
7. Summary
Lakeridge
APT Investments
Lakeridge - Overview
Spruce Grove, Alberta, Edmonton's largest western suburb.
LIMITED OFFER ONLY 25 PRESALE UNITS
10 - 15% below appraised value
First Year Lease in place – Yields Positive Cashflow!
Only 10% deposit required
Gateway Town Center, a $100 Million PLUS mixed use project which
is forecast to generate 2,670 new jobs and $114 Million
in employment spinoffs -- Western Investor, May 2010
Lakeridge – Gateway Town Center
• $100M Mixed Use Project in northeast corner of Spruce Grove
• Create 2,670 jobs and generate $114.5M in employment income
Lakeridge - Overview, The Builder
Ridge Development Corporation
Doing business since 1967 (43 years)
Recent local projects
◦ Century Ridge - 167 Street and 100 Ave
◦ Vista Ridge- 100 Ave and 184 Street
◦ Mayfield Ridge - 106 Ave and 169 Street
◦ Whitemud Heights - 231 Street - 79 Ave
Specializes in condominium apartments
APT Investments
Lakeridge - Location
Spruce Grove which 30 kilometres west of Edmonton on Highway 16 .
• close proximity to all educational, shopping and employment amenities
• access to Highway 16 to the north and Highway 16A to the south.
• HIghways 16 and 16A link Edmonton to Stony Plain, Edson and Jasper.
• McLeod Avenue provides a direct link to City Centre and Century Road.
APT Investments
Lakeridge – Location, neighborhood
Lakewood is new subdivision located on the east side of Spruce Grove.
LakeRidge is located right across from park
APT Investments
Lakeridge – Location, neighborhood
Lakewood offers all the amenities and easy access to commuter arteries.
APT Investments
• Colonial style finishing – Oak cabinets
• 7 appliances (including in suite washer/dryer)
• Multi-panel doors
• Soft line wall corners
• Vertical blinds
• Upgraded textured ceilings
• Balcony (every suite)
Lakeridge – Features, Interior
APT Investments
Lakeridge – Features, Building
• 99 units; 4 stories; wood frame; concrete foundation
• 4th floor vaulted ceilings , 1st Floor above grade slab
• Two elevators service each floor
• Two parking per unit (1 u/g and 1 energized surface)
• Maintenance free exterior
• Radiant hot water heating in suites - forced air common area
• 5 year New Home Warranty
APT Investments
• Acrylic Stucco exterior
• 22” depth web truss joint system
• Vinyl double thermal glazed sealed
• Sliding window units
• Triple pane sliding patio doors
• Balconies in every suite
• Vinyl decking (Duradeck)
• Aluminum railing (enamel finish)
• Extra soundproofing
• 2 layers of drywall between ceilings and floors
Lakeridge – Features, Construction
APT Investments
Lakeridge - Floor Plans, Site Map
APT Investments
Lakeridge – Market Info
Major Alberta Development Projects
1053 major projects with a total value of $240.2
billion are either under way or have been
announced to start in the next two years in
Alberta. With over 70% of the projects occurring in
the north-central region, Edmonton is poised for
prosperity. Avison Young 2010 Forecast
About Alberta's Economic Results, June 2010
Alberta’s economy has seen the highest rate of
economic growth in Canada over the past five years.
Alberta’s economy has increased 3.1% per year on
average, and experts believe that Alberta will
continue to lead the country in economic growth
over the long term.
APT Investments
Lakeridge – Market Info
• Spruce Grove one of the fastest growing
communities -- 6.5% growth per year for
the past 5 years.
• Higher personal per capita incomes, just
over 119% of the Canadian average
• Over 50% having either a college or
university education.
• 100,000 people within the immediate
trade area and over 300,000 within 20
minutes of downtown Spruce Grove.
• there are over 1,300 businesses licensed
in Spruce Grove.
APT Investments
Lakeridge – Market Info, CMHC Highlights
Residential sales reported by the Realtors Association of Edmonton (RAE)
increased by 22 per cent year-over-year in Q1 2010
CMHC forecasts price increases
• 3.9 per cent in 2010
• 3.6 per cent in 2011
40% decrease in multiple family dwelling starts in 2009 from 2008.
City of Edmonton reported for the first quarter show a 34 per cent
increase in the total value of building permits issued compared with
the first three months of 2009. Much of this year’s rebound has come
from residential and institutional activity.
APT Investments
Lakeridge - Market Info, Comparative Properties
Lakeridge quality construction will
surpass the competitors.
260 Spruce Ridge
Station 33rd
6 Spruce Ridge240 Spruce Ridge
APT Investments
Lakeridge – Market Info, Residential Sales
Address Suite Year SF Asking PricePrice per
SF240 Ridge 119 2008 900 $ 199,900 $ 222
308 2008 646 $ 199,900 $ 309
121 2008 900 $ 189,900 $ 211
216 2008 900 $ 187,500 $ 208
320 2008 857 $ 209,900 $ 245
511 Queen 433 2009 1075 $ 328,950 $ 306
300 Spruce Ridge 106 2008 1013 $ 239,859 $ 237
33 Station - Topaz 322 2009 1006 $ 225,900 $ 225 33 Station - Garnet 432 2009 904 $ 228,900 $ 253
33 Station - Jade 307 2009 804 $ 205,900 $ 256
Average $ SF $ 247.24
APT Investments
Lakeridge - ROIProperty Worksheet - Lake Ridge @ Spruce Grove, AB
Legal Unit Number 57 Exposure West
Suite Number 308 Square Feet 901
Suite Type BU/G Parkade stall #
124
Surface stall # 240
2009 Appraised Value $ 222,000 (PSF = 246)
Cash Requirements
Base Purchase Price$ 193,631
First Mortgage
$ 154,905 80%
GST on Sale $ -Second Mortgage
$ - 0%
Purchase Price $ 193,631 Down Payment
$ 38,726
Price per Square Foot $214.91 Purchase Price
$ 193,631
Projected Price/S.F. @ Yr 5
$243.15
APT Investments
Lakeridge - ROIPRO FORMA RETURNS
This chart is for illustrative purposes only. No guarantee of the results as projected is provided.
YearOriginal
Investment Cash Distribution
Mortgage Paydown
Appreciation ***
1 $38,426 $0 $0 $2,934
2 $0 $0 $3,054
3 $954 $2,725 $3,177
4 $1,297 $2,835 $3,303
5 $1,651 $2,950 $3,432
Totals (5 years) $38,426 $3,902 $8,510 $15,900
Before Tax After Tax **
Your total profit over 5 years $28,312 $21,183 Your ROI (cash on cash return) 5 years
73.7% 55.1%
Your annual average ROI 14.7% 11.0%
* Assume the property value increases per annum by :
2.50%** A 36% marginal tax rate is used for for After Tax
calculation*** Assume property sale at end of year 5 (net
of selling expenses)
Purchase Price - Unit 207 $ 192,131 Less:
1st Mortgage financing $ 153,705 2nd Mortgage financing $ -
$ 153,705
CASH REQUIRED AT CLOSING $ 38,426
Projected selling price at the end of year 5 $ 217,379 Less:
Repayment of Mortgage(s) $ 145,195 Selling costs (brokerage) $ 9,348
NET PROCEEDS FROM SALE $ 62,836
Plus:Cash distribtions rec'd (yrs 3-5) $ 2,949
Cumulative cash earned $ 65,785
Projected profit $ 27,359
ROI 71%
Lakeridge -ROI
Lakeridge
APT Investments
Quality Construction
Heated underground parking
Triple pane sliding patio doors
2 layers of drywall between
ceilings and floors
22” web truss joint system
Acrylic Stucco exterior
Extra soundproofing
In suite Laundry & storage space
Balcony (or patio in every suite)
Upgraded textured ceilings
Softline wall corners
Vertical blinds
7 appliances
Oak cabinets
Quality Finishes
APT means Buying Right !Building costs are their lowest in years - these
conditions will not last – take advantage – BUY RIGHT!
ONLY 25 PRESALE UNITS
Priced to sell @ 14% below appraisal
1 Year Lease starts at completion
Positive cash flow – 2 parking/ unit
RESERVE TODAY ONLY 10% down!
Lakeridge
APT Investments
APT means Buying Right !Building costs are their lowest in years -
these conditions will not last – take
advantage – BUY RIGHT!
RESERVE your unit TODAY
Reservation valid til August 15, 2010
Contract is assignable
Reservation forms are on the table –
waive deposit for tonight only