Real estate is creating wealth for people across B.C. The time is right to join in, but how do you capitalize on the opportunity without buying and selling property yourself, hoping to time the market just right?
Experience matters
With almost a century of combined experience, the team behind the Richmond, B.C.-based Western Canada Monthly Income Fund has seen similar real estate cycles over their respective careers.
“When buying property for re-sale in a hot market, all it takes is a small market shift and inexperienced buyers can be in trouble,” says Ralph van der Walle, one of the three fund trustees, who has worked with real estate investments for over 15 years. “Our approach is longer term and contrarian: We buy land when not much is happening in the area, then wait for planned development to come to us, with the traffic growth we need. We ensure we have all the required studies and are ready to go, and when the time is right, we move forward.”
Real-world examples
For example, van der Walle bought waterfront property years ago in the Comox Valley, where realtors are now receiving multiple offers above-asking. “It’s one of the most beautiful acreages I have ever seen, right on the beach, and it’s ready for development of seaside cottages. The Comox Valley is seeing year-over-year price increases of up to 39% so demand is at an all-time high.”
Mike Fowler, another fund trustee, has been in real estate development for over 40 years.
“We bought land in Comox and waited for Costco to build right beside us. The other lots are now taken by car dealerships and big-box stores, so the time is right for us to build our commercial mall. In Salmon Arm we waited for Walmart to build their 60-acre Supercentre beside us. The increase in traffic ensures the area is in demand so we can build as well.”
Commercial investment for all levels
Commercial real estate investing can be one of the most profitable sectors, but is often possible for the wealthy only, as it takes significant funds to buy, hold and develop land.
The Western Canada Monthly Income Fund allows every investor to participate in commercial projects ready to be built and sold, because smaller amounts can be invested. RRSP, RESP and TFSA funds can even be used to earn higher returns in a tax-advantageous way, something you can’t do when buying property yourself.
“Many investors are unsure of where the stock market is heading as it’s sensitive to every global hiccup, and with banks offering almost no return on your money, demand for alternative investments is high. Our fund invests with local investors in local projects, and creates a predictable monthly cash flow of 6% (per annum) plus a generous profit share of 20% of net profits. Our total projected annual return is in double digits. And, you can see your funds at work locally as the project progresses.”
Learn more: Request your investor package at easy-invest.ca or call 604-235-2370.
Disclaimer
This summary has been prepared for informational purposes only and does not constitute an offering of securities, and cannot be relied upon for making your investment decision. This summary is qualified in its entirety by the applicable Offering Memorandum. Reference should be made to the Offering Memorandum prior to determining whether the securities are a suitable investment for purchase. Please read the Offering Memorandum in its entirety before investing. This investment is not guaranteed or insured, and its value changes depending, among other things, on economic factors and market trends. This summary may vary from that presented in the Offering Memorandum. All capitalized terms and phrases in this brochure which are not otherwise defined herein shall have the meanings set out in the Offering Memorandum.
This summary contains forward-looking statements and information including speculation or stated beliefs about future events, such as market and economic conditions, company or security performance or other projections. Forward-looking statements and information are based on the opinions and estimates of management at the date the information is given, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements.
The views expressed herein represent the opinion of management and are not intended as a forecast or guarantee of future results. Due to risks and uncertainties actual events, results or actual performance may differ materially from these reflected or contemplated in such forward-looking statements.