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JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with a profitable and effortless route into Saskatoon’s real estate market. Jason Meginbir
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JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Dec 18, 2015

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Page 1: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

JDM Properties

The Property Investment Managers

To develop properties in a way that meets local rental needs while providing accredited investors with a profitable and effortless route into Saskatoon’s real estate

market.

Jason Meginbir

Page 2: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.
Page 3: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Proposed Project Layout

Page 4: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Marketing for Revenue

Target Groups UofS students UofS & University Hospital professionals

Why will they will rent from us? Significantly quicker commute Less dependence on vehicles and bus system Quality of living in a sought after neighborhood Close to elementary school

Page 5: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Target Investors

Accredited Investors

A completely managed solution including planning, market analysis, development, and long-term property management

A relatively risk adverse compared to almost any other investment

Page 6: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Capital Budget

Year 1 Year 2 Year 3 Total

Land $898,000 $911,470 $925,142 $2,734,612

Buildings $1,887,800 $1,916,117 $1,944,859 $5,748,776

Projects Completed

2 2 2 6

Working Capital

$30,573 $31,004 $31,468 $93,045

Total Investment

$2,816,373 $2,858,591 $2,901,469 $8,576,405

Page 7: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Capital Structure

Page 8: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Profitability & Returns to Investors

Page 9: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Investment Analysis

Internal Rate of Return 7.22%

Expected Return 8%

Net Present Value $(322,944)

Payback Period 23 Years

Net Payback $37,074,519

Total Equity Invested $2,148,035

Page 10: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Critical Variables

Market value of rent per unit

Interest rate

Cost of projects

Page 11: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Investing in Management

Future 2015 B.Comm. Grad

Management experience

Passion for the industry

Ideal industry support contacts

Knowledge of the Construction & Rental process

Page 12: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Feasibility

Page 13: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Questions?

Page 14: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Market Value of rent per unit analysis

IRR NPV

-10% 6.08% $(835,640)

Base 7.22% $(322,944)

+10% 8.44% $171,818

Page 15: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Interest rate analysis

IRR NPV

-1% 7.87% $(51,449)

Base 7.22% $(322,944)

+1% 6.55% $(640,490)

Page 16: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Cost of projects analysis

Project Cost IRR NPV

-10% 8.32% $115,194

Base 7.22% $(322,944)

+10% 6.36% $(772,874)

Page 17: JDM Properties The Property Investment Managers To develop properties in a way that meets local rental needs while providing accredited investors with.

Key Investment Advantages

A way to invest without expertise in, or access to Saskatoon’s real estate market

A completely managed solution including planning, market analysis, development, and long-term property management

A relatively risk adverse solution compared to almost any other investment

Tax advantages as a CCPC allowing equity to build quicker via a reduced tax environment as well as shareholder capital gains benefits.