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Increasing
Property Values
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Land Acquisition & Construction
Financing
The value of these properties is increased through
Subdivision and cost effective construction
Of Tuscan Homes.
Affordable Dream Homes
Tuscan Property Developments designs and builds "open plan Mediterranean
homes" that fully utilize the properties on which
they are built. Creating value through the transformation
of underutilized properties into affordable dream homes.
Homes desired by a growing middle market.
 Future Home Shortage in British Columbia
The drivers of supply and
demand - geographic and demographic factors - must be
taken into account when considering the size of future
home shortages in British Columbia.
Vancouver and Surrey are land locked between the mountains, ocean and the USA border. Surrey is also the fastest growing city in Canada. The economic vitality of British Columbia has already increased the demand for and the value of properties in this region.
The demand will continue to grow and property values will continue to increase due to the natural land shortages, the high population growth and the economic vitality of the region. While municipalities struggle with community plans and rezoning issues, there is a growing shortage of mid-market family homes in British Columbia.
 In-fill Developments & Conversion of Agricultural Lands
The population growth’s
increased traffic and urban congestion will continue to
stimulate the development of in-fill developments
(smart-growth) closer to the Vancouver city business core.
At the same time, the economic feasibility
of agricultural operations in the Vancouver lower mainland
will be reduced due to increasing
land prices, environmental regulation, high labour costs,
higher property taxes and competition from the warmer
climates. Agricultural land on the outskirts of the city
will therefore be rezoned, making way for residential
developments and master-planned communities.
The smart-growth developments and the conversion off agricultural lands are the two areas where the city may attempt to meet the demand for new residential housing and support British Columbia’s economic vitality.
 The Time to Purchase Land for Future Development is Now
Tuscan Developments has identified various underutilized properties and new property development opportunities in Vancouver and Surrey, British Columbia. Tuscan Developments is in the process of acquiring such properties for future development.
The value of these properties will be significantly increased through subdivision and cost effective construction of Tuscan Homes. Homes and gardens, which are affordable to and desired by the growing middle market.
Land
Acquisition & Construction Financing
Proven
land acquisition and construction procedures
Consistently generate high returns on
Investments secured against property.
 High
Returns
Tuscan Developments’
proven land acquisition and construction procedures have
consistently generated high returns on capital. The return
on investment (ROI) is far superior to and better secured
than that offered by the vast majority of investment funds
or earned through public markets.
The major elements
required to sustain a high ROI in the development
business are:
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Economic vitality and population growth
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Acquisition of underutilized land
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Focus on real cost reduction in design and
construction
High
Security Underpins Investor Interests
After Tuscan Developments
identifies a property development opportunity, a due
diligence review is commissioned to determine associated
risks and profitability of the project. Tuscan
Developments assesses the properties potential value appreciation
that will occur after Tuscan Homes are built on the
property, taking into account:
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Land acquisition and construction costs
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The opportunity for home pre-sales
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Local market competition
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Regional economic vitality
Design and construction
budgets are then set below market. In this manner Tuscan
Developments provides a buffer between the projects
capital costs and market fluctuations.
Equity and participation
loans are secured against each
property through "mortgages" or "limited
partnership interests”. Quarterly progress and operating
reports are provided to interested parties.
 Land
Acquisition and Construction Financing
Projects are initially
financed through principal’s equity capital contributions,
combined with corporate debt through third-party
lenders/institutions (senior debt), which is secured in
first place against the subject property. The principals
and directors (see About Tuscan Developments) are equity
capital contributors in all development projects and
secured behind all senior debt and other investor
interests.
Participation Loans – Priority Interest & Security against
Property
Participation loans enjoy
a priority interest over principals’ equity capital. These
participation loans are secured through mortgages or
limited partnership interests against the subject property
in a secondary position to senior debt (third-party
lenders/institutions). Loans may provide for interest to
be accrued over time and repaid on maturity of the loan or
on the sale or refinancing of the underlying property.
Participation Loan
holders enjoy the right to:
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Full interest redemption prior to distributions to
principals
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A portion of the net profits generated by the sale
or refinancing of the subject property
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Local market competition
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Maturity termed over 18 to 36 months
 Limited Partnerships
– Termed Up to Five Years
Tuscan Developments may form Limited Partnerships to
acquire and develop various properties. The returns on
loans structured in the form of a limited partnership are
equivalent in concept to interest on debt. Limited
Partnerships enjoy a priority interest over principals’
equity capital and are secured against the subject
property in a secondary position to senior debt
(third-party lenders/institutions).
Development & Other Fees
Loan origination,
advisory, management, transaction, standby, design,
construction or other fees are added to the principal
amount of any property development costs.
Mortgage-Backed Debentures – Quarterly Payments
The Tuscan Mortgage Pool
exists solely to make loans secured by real property.
Fixed interest payments are made on a quarterly basis
providing cash flow to the holder.
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See…
Experienced Leadership & Strong Partners
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Property Developments Inc. |
