We went quiet for a while as we worked on a few business opportunities — including the purchase of a 14 unit, all two bedroom, apartment building in Drayton Valley, Alberta. But we’re back, and we’re about to announce another opportunity you can get involved in. So keep an eye out for emails from us!
As we watch the macro-economic landscape, we believe real estate in Alberta has a strong future — particularly in smaller markets away from the more competitive pricing in Edmonton and Calgary. Our Drayton Valley property is a clear example of this in action:
- Near-zero vacancy rates in the local market
- Less capital required for renovations
- Higher appraised loan value driven by stronger-than-expected rents
- Recapitalizing more money for our investors
"Secondary markets don't make the news — they make the returns."
Here’s where things stand today:
- The building is generating $3,200/month in cash flow
- Purchase price was $1.6M
- Refinance is coming in at $1.88M
- After refinancing, we will have only $144,000 remaining in the building
That is the buy-and-hold strategy doing exactly what it is supposed to do: stabilize, perform, and recycle capital so it can be put to work again. More to come as the refinance closes.