Development Project | Montreal , Canada
Offering size: $25,000,000 | Cash flowing from day 1 | Equity term for 5 years or more | Minimum ticket: $5,000,000 |
Overview
Potential to build 1800 new residential units on 17 acres of mixed-use land in Montreal, Canada.
The project included as part of city re-development masterplan initiative.
Urban incentives and Tax abatements in place to attract developers to area where there is a need for multifamily housing.
75% land is vacant and ready for first-phase development with existing infrastructure in place
100% leased, cash flowing commercial buildings in place. These will remain through first phase.
Current Annual NOI from leased space up to $1,130,000 USD from existing commercial buildings tenants. Will realize this throughout first
phase
Senior financing already in place for construction of phase 1
Transaction
Purchase price, $22M USD, purchase price below development value
Expect to close the purchase in may-June 2023
Asset future value after entitlement (12 to 18 months): $45M USD
Estimated sources and uses (USD)
Sources
GP/Sponsor pre-dev | |
LP/ Pref Equity Interest– Collateralized by land. | 25,000,000 |
Bridge Loan (first phase) | 66,000,000 |
Uses
Cost of land | 22,000,000 |
Closing cost | 1,000,000 |
Pre-dev costs | 2,000,000 |
Construction cost | 60,000,000 |
Funding fees | 6,000,000 |
| |