TORONTO, March 15, 2017 – Cranson Capital Securities Inc. is pleased to announce that it has successfully completed a $20 million capital raise for the Plaza Land Fund (“The Fund”), a portfolio of future development sites in urban areas of Toronto. The funds were raised from over 200 accredited investors to acquire 3 income producing properties: an office building at Don Mills and Eglinton (next to the future LRT station), a commercial building at Queen’s Quay and Parliament (part of the Waterfront Toronto Revitalization Plan) and a small residential building on St. Clair, west of Avenue Road (Forest Hill).
The Fund is leveraging the strong experienced management team at Plazacorp, one of Toronto’s leading real estate developers, in their expertise in site selection, acquisition, land assembly and zoning. The properties have been strategically selected with the intention to hold over a 5 year period before considering selling or developing on the site.
Over the past two years the Toronto market has seen tremendous growth in land values. As the demand for housing in Toronto continues to increase while the supply of developable land becomes scarcer, land prices are expected to appreciate at an accelerated rate. “The competition for prime development sites in Toronto has intensified in recent years, driven by a limited availability of supply and increased demand as new condo apartment sales have reached record highs. With available high-rise inventory falling to a 10-year low at the end of 2016, price levels continue to show strong upside potential as buyers increasingly turn to condos as an alternative to the expensive low-rise market,” said Shaun Hildebrand, Senior Vice President at Urbanation Inc. The Fund gives investors the opportunity to benefit from the land appreciation anticipated in Toronto’s rising real estate market. The Fund targets a total return of 100% - 130% over approximately a 5 year time period and is RRSP, RRIF and TFSA eligible.
“There is a clear long term need for new developments and increase in housing supply across the GTA,” said Pinny Kaufman, Director and Officer of the General Partner. “So the opportunity to buy land with a 5 year time horizon makes a lot of sense for the investors holding the land,” he added.
With the rapidly increasing land prices in the city and the positive feedback from investors after the first round, the management team has decided to launch Plaza Land Fund II. Investors are encouraged to contact us regarding this exclusive opportunity while inventory lasts.
Plaza is one of Toronto’s most experienced residential condominium construction and development organizations with over 10,000 condominium suites either already completed or under construction. Since 1981, the Plaza philosophy of providing a high level of standard quality in every condominium built has made its name synonymous with lasting value. Plaza was among the first condominium developers and builders in Toronto to include such finishes as granite counters and floors, marble bathroom counters and floors, halogen lighting, under-mount sinks, porcelain tile, engineered hardwood floors and stainless steel appliances as standard features rather than costly upgrades. Plaza developments can be found in many of Toronto’s most desirable urban neighbourhoods including Yorkville, North Toronto, King West, Queen West, Lawrence Park, Liberty Village, St. Lawrence Market, Harbourfront, and Mt. Pleasant Village.
About Cranson Capital
Cranson Capital is a boutique investment banking firm which focuses on providing financial and advisory services to small to medium sized growth businesses. The business consists of two divisions; Cranson Capital Securities and Cranson Capital Solutions, both of which offer unique services to support our investors and entrepreneurs. Cranson Capital Securities is an Exempt Market Dealer that specializes in raising capital through private placements in real estate, growth companies and financial services. Cranson Capital Solutions is a corporate finance advisory firm which focuses on finding the right financing solutions for our entrepreneurs. For more information visit: www.cransoncapital.com