CANMORE, AB – – December 6, 2012 /CNW/ – Prestigious Properties has completed the sale of its townhouse complex in Wetaskiwin, AB to Avenue Living of Calgary for $9.568M. The complex is comprised of 104 townhouse units and the transaction is the largest Wetaskiwin multi-family sale in its history. The property was acquired in 2007 for $8.125M.
Prestigious Properties has also completed the sale of its property in Campbell River, BC to Northern Property REIT of Calgary for $5,192,375. The complex is comprised of 55 apartment style units and 10 townhouse units. The property was acquired in 2008 for $4.29M.
This benefits Prestigious’ cash-flow in an impressive portfolio of revenue-generating rental properties and land holdings which still exceeds 900 units and 300 acres of developable land, approx. $85 million in asset value and over $40 million in equity in Western Canada and the U.S.
A rising player in the North American rental real estate market, Prestigious Properties has developed a highly successful investment strategy which has drawn an enthusiastic response from over 600 satisfied investors. Company president Thomas Beyer is bullish on the company’s business model and pleased by its surging growth profile. “In any economy there is a need for reasonably priced, well situated, appropriately renovated & impeccably managed apartments” Beyer explains his investment philosophy. “Renting is becoming the economic choice of many because owning a house doesn’t mean automatic equity accumulation anymore, because renting is usually far cheaper than owning and because the threat of rising interest rates remains with us,” he adds. “Buying, selling or upgrading all happen in the life of a real estate firm, and in this case, we happen to be sellers to improve our cash position so we can buy accretive buildings elsewhere in larger urban Alberta markets.
In a nutshell, Prestigious Properties buys undervalued apartment buildings in urban markets. The company renovates, manages, re-finances and occasionally sells these properties while both equity values and rents increase over time. Prestigious Properties may ultimately dispose of the asset for ROIs which have historically ranged in the double or triple digits over a number of years.
Scotty Grubb, Senior VP Business Development Prestigious Properties, adds: “Echo-boomer demand, in-migration, tightening credit requirements, higher down payments for would-be home owners translate to stronger demand for rental accommodation, rising rents and lower vacancies. We can currently buy apartment buildings for less than 70% of replacement cost, with relatively predictable rental growth and with very inexpensive financing. We will re-focus on our core market, which is larger Alberta urban centers where 70%+ of our Canadian assets are located.”
Prestigious Properties Group
T: 403-678-3330 Toll Free: 877-434-4345
Prestigious Properties is a privately owned, Alberta-based company which creates wealth for investors by offering well selected real estate investments that provide positive cash flow, tax free equity growth, and hassle-free management, for the benefit of tenants, communities and investors. Investments are sold via offering memorandum through Exempt Market Dealers that provide financial advice. This announcement shall not be construed as investment advice nor as a solicitation for investments. No returns are guaranteed, even with a verifiable and decade long track record. Risks, minimum hold period and redemption restrictions apply and are outlined in the offering memorandum.