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98% Development & Joint Venture
Financing for Land Owners:
We
provide all building materials without any upfront payment
from your side and pay you 30% to 50% more on your land value!
The costs of all construction materials
are pre-financed by our Group and will be reimbursed from
the future profits of the joint venture project. You must
own your land outright without any major mortgages on it.
Please do not ask us for a 100% acquisition loan to obtain
land.
In addition, the land owner must
be able to contribute to the project a cash contribution 2%
of the project construction cost in U.S. Dollars or a minimum
of 500,000 USD dependent upon project size.
This can be waived in exchange for
using the free and clear land title as collateral for a development
loan.
Is
your bank giving you ANY MONEY on your land as of today? Do
you have building permits in place? If so, we can apply for
a development loan using your land as collateral.
Our Joint
Venture Proposal is ONLY VALID FOR LAND OWNERS!
In limited cases, our Group may also entertain joint ventures
with strategic partners/land owners who wish to benefit from
the company's vision for bringing its cutting edge building
products into the market.
INSTANT BENEFITS FOR LAND OWNERS/JOINT VENTURE PARTNERS
ARE:
1) In today's tough market with
banks and financiers NOT funding or placing onerous deposit
requirements on developers, POWERCONCRETE™ Inc. has
a turnkey solution for land owners wishing to develop or
create value utilizing their undeveloped land
2) We joint venture with land
owners who (if they wish) are being appointed as Licensee
for a certain territory
3) The land owners contribution
is land only and we take the project forward
4) Land owners receive current
FULL LAND VALUE from the joint venture transaction AND they
participate in developers profit with our Group.
5) Land owners benefit from
non payment of interest rates on bank loans, due to the
fact that we provide equity financing as joint venture partner.
6) Land owners benefit from
30% to 40% savings in construction costs, compared
to conventional construction methods. This is achieved due
to the fact that the POWERCONCRETE™ Building System
wins
over wood, steel frame, SIP's, conventional concrete construction
and/or precast technology by price & speed, time and
time again!
7) Land owners make actually
more profits when partnering with us, instead of doing the
planned project on their own. This is achieved through savings
on the material costs, savings on interest rates, savings
on capital outlay for heavy machinery and equipment, such
as expensive formwork when working with concrete construction,
plus savings in labor costs due to an increased speed of
construction of up to 300% when using the POWERCONCRETE™system,
plus savings in additional project related jobs, such as
plastering, using the POWERCONCRETE™
system for additional applications such as compound
walls & fencing, Trellis, Railings, Gazebos, Pool Deckings,
Garden Furniture, Light Posts, Flower Pots, etc. etc. This
means a partnership and joint venture with our Group pays
for itself.
ARE THERE ANY HIDDEN COSTS RELATING TO
A LAND OWNER JOINT VENTURE TRANSACTION SUCH AS PRE-DEVELOPMENT,
FEASIBILITY AND/OR ON-SITE ASSESSMENTS BY OUR GROUP OR OTHER
PROFESSIONALS OR CONSULTANTS?
 This
question has been asked often and it is therefore important
that all potential joint venture partners, landowner joint
venture partners and similar related interested parties should
note the following:
Understandably, where clients are requesting us to joint venture with them
to develop on client owned land or via similar structures
we would assess a transaction via an initial desktop assessment.
If deemed viable we would advise our clients and prospective
Joint venture Partners accordingly. However, where clients
wish us to travel to specific locations to assess sites and
viability's or where our input is required via visits to your
specific location or country, the cost of business class flights
and minimum 4* accommodation inclusive of meals and associated
hotel costs would be for the account of the joint venture
partner.
It should further be noted that when we undertake the provision of full
top structure funding and development under its joint venture
agreements, which is our contribution to the project and would
therefore not carry costs relating to preliminary feasibility's
or project designs. It should also be stressed that we do
assess all projects on merit. For more information regarding
our Consulting Services click here.
Our
Group offers 98% financing for land owners without any out
of pocket expenses for the land owner and joint venture partner.
However, the land owner has to provide
a cash contribution of 2% of the project construction cost
in U.S. Dollars or a minimum of $500,000 US Dollars dependent
upon project size, before
we commit our resources to his proposed projects. This
can be waived in exchange for using the free and clear land
title as collateral for a development loan.
WHAT IS THE DEFINITION OF A (REAL
ESTATE) JOINT VENTURE?
You are about to learn one of the most powerful tools we
know of for being successful in today's competitive business
atmosphere. We are of course talking about Joint Ventures,
or specifically, teaming up with another person, group of
persons, or business entity for the purpose of expanding your
business influence and creating a more powerful market presence.
Joint Ventures are in, and if you are not utilizing this
strategic weapon, chances are your competition is, or will
soon be, using this to their advantage.... possibly against
you!
A joint venture (often abbreviated JV) is an entity formed
between two or more parties to undertake economic activity
together. The parties agree to create a new entity by both
contributing equity, (THE LAND OWNER CONTRIBUTES HIS LAND
FREE AND CLEAR & OUR GROUP CONTRIBUTES THE ENTIRE PROJECT
FINANCING, THE BUILDING MATERIALS AND ITS EXPERTISE TO BUILD
THE PROJECT), and they then share in the revenues, expenses,
and control of the enterprise.
The venture can be for one specific project only, or a continuing
business relationship such as the Sony Ericsson joint venture.
This is in contrast to a strategic alliance, which involves
no equity stake by the participants, and is a much less rigid
arrangement. The phrase generally refers to the purpose of
the entity and not to a type of entity. Therefore, a joint
venture may be a corporation, limited liability company, partnership
or other legal structure, depending on a number of considerations
such as tax and developers liability.
A JOINT VENTURE OVERVIEW
A joint venture is a legal organization that takes the form
of a short term partnership in which the persons jointly undertake
a transaction for mutual profit. Generally each person contributes
assets and share risks. Like a partnership, joint ventures
can involve any type of business transaction and the persons
involved can be individuals, groups of individuals, companies,
or corporations. Joint ventures are also widely used by companies
to gain entrance into foreign markets.
Foreign companies form joint ventures with domestic companies
already present in markets the foreign companies would like
to enter. The foreign companies generally bring new technologies
and business practices into the joint venture, while the domestic
companies already have the relationships and requisite governmental
documents within the country along with being entrenched in
the domestic industry.
Reasons for forming a joint venture?
Internal reasons
- Build on company's strengths
- Spreading costs and risks
- Improving access to financial resources
- Economies of scale and advantages of size
- Access to new technologies and customers
- Access to innovative managerial practices
Competitive goals
- Influencing structural evolution of the industry
- Pre-empting competition
- Defensive response to blurring industry boundaries
- Creation of stronger competitive units
- Speed to market
- Improved agility
Strategic goals
- Synergy's
- Transfer of technology/skills
- Diversification
A joint venture is not to be taken
lightly
For a businessperson/landowner to embark on a joint venture
with our Group, he or she needs to be committed and willing
to work cooperatively with the other party involved. A person
involved in a joint venture can no longer make all of the
decisions for the business alone. For it to be truly a joint
venture, there has to be 100% commitment from both sides.
When determining whether or not to embark on a joint venture,
it is important to ensure both parties are a match with the
projected real estate project development. In a joint venture,
each party must compliment the other in business.
Sometimes, a misunderstanding or a lack of communication
can destroy a joint venture. Therefore, it is necessary for
both parties to be capable of communicating what they are
able to offer to the project and what their expectations are.
Since money is involved in a real estate joint venture, it
is necessary to have a strategic plan in place. In short,
both parties must be committed to focusing on the future of
the partnership, rather than just the immediate returns. Ultimately,
short term and long term successes are both important. In
order to achieve this success, honesty, integrity, and communication
within the joint venture are necessary.
To Summarize:
Assuming that you have fully understood the above definition
of a Real Estate Joint Venture and the benefits as well as
liabilities for both parties involved, it should be very clear
that Our Group will provide 98% project financing when
signing the JV agreement. We provide all financing and our
building materials without any upfront payments from your
side and the land owner provides his land. Its that simple!
Are you ready for an exclusive Partnership
& Joint Venture Opportunity?
If you (or one of your clients) own development land anywhere
across the world (including building permissions) for development
of residential, mixed use and/or commercial project developments,
we provide 98% development loans and all building materials
without any upfront payments from your side based on the
fact that you would sign a Commercial Land Lease Agreement
with us.
Furthermore, our professional team would
structure the transaction in a manner which would ultimately
result in the funding of your proposed project up to 98% with
only 2% project development costs on your end!
The benefits of our strategy, methodologies and broad proposal
can be outlined as follows:
- The Land Title
remains with yourself/your company
- We will NOT need
your land as collateral AND you retain full ownership of
your land
- We will NOT lend
against your land
- We establish a
Home Manufacturing Plant
at your location to provide low cost building materials
for above mentioned project - this plant would be erected
to support the development on the land
Here is how the transaction must be structured in order to achieve
mutual success:
The
above proposal and joint venture strategy will only work based
on the fact that the land owner would be willing to sign a
Joint
Venture & Commercial Land Lease Agreement
with our Group for 25 up to 99 years:
- We pay only $1.00
(One USD) per year for the lease = $99.00 for 99 years,
- We finance and
build the entire project out of our own resources
- We pay to the land
owner 30% to 50% of all projects profits
- We further pay
out of profits achieved, on an annual basis based on audited
financial statements (the services of either KPMG or PriceWaterhouseCoopers
would be retained) the full price of the land per sq. mt.
based on the realistic market value of today!
After the term of the lease all structures/buildings
being built on the land will be returned in full ownership
to the land owners / home buyers against the symbolic payment
of $1.00
Please discuss this proposal with your team
members and let us know WHEN you wish to proceed. Accordingly,
we will send you a Joint Venture Agreement and a Commercial
Land Lease Agreement, which reflects the above mentioned points.
By
using the POWERCONCRETE™ Building
System, you save not only precious time and labor costs in
the construction process, but in addition you enjoy savings
of 30% to 40% on construction costs compared to conventional
concrete construction methods, when partnering with us. With
the POWERCONCRETE™technology you achieve a speed of construction,
which enables you to erect an unlimited amount of housing
units per day.
As a Land Owner & Joint Venture
Partner your benefits include:
- 98% development funding
- All building materials delivered without any upfront
payments from your side
- No interest to be paid
- No debt
- No payments
- No payback due to Equity Financing
Our worldwide development proposition
is simplicity itself
Our Group offers land owners:
- Full price for your land (with planning permission,
verified by reputable local valuers)
- And participation in the development profit, generally
30% to 50% of profits
This generally results in the land owner receiving 200%
to 250% of full market land value
We are able to adjust our prices into any market worldwide
based on your requirements. Our expertise and specialization
is in luxury villas, apartment buildings and affordable, low
cost housing units. No matter where you are in the world,
we are listening!
What do we need to know regarding
your land?
- Do you own the land outright already for your planned
project?
- Have you obtained zoning and building permissions?
What documents do we need to see
regarding your Land?
- A Copy of your Preliminary Title Report
- A recent valuation report/appraisal to be done by a
recognized valuation firm or by an international bank
- Overview of mortgages on your land (if any)
What documents do we need to see
regarding your planned project?
- Project Summary and Assumptions
- Detailed Business Plan
- A recent Market Feasibility Study done by a recognized
expert firm
- Cash Flow Projections/Total Project Revenues
- Project Costs incl. Equipment, Furniture, Pre-opening
- Marketing Budget
- Staffing, Payroll, Contract Labor
- Consolidated Profit & Loss Statement
- Cash Flow Statements
- Rate of Return & Debt Calculations
Partners Contributions to the Joint
Venture:
The Developer/Landowner is required
to contribute the following:
- The land free and clear to be used
by the newly formed joint venture.
- The permits to verify that the
proposed project can be constructed as presented.
- A cash contribution 2% of the project
construction cost in U.S. Dollars or a minimum of $500,000
US Dollars dependent upon project size. This
can be waived in exchange for using the free and clear land
title as collateral for a development loan.
- The contributed funds are due as
follows: 20% on signing of the Letter of Commitment and
balance due prior to start of vertical construction. These
funds can be paid into escrow.
Our Commitment
As Joint Venture Partner we
are required to contribute the following:
All cost, money's, management, and
resources associate with the construction of the project (Labor,
Architectural, Engineering, Building Materials, etc).
If you are seriously interested getting your planned project
off the ground, please contact
us today.
WE
JOINT VENTURE ANYWHERE ACROSS THE USA!
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