The Carp lands were purchased in 2013 by aquiring control of West Capital Developments corporation for consideration of approximately $4,900,000 ($24,500/acre) as an existing airport and future development lands with holding income. The $4.9 million purchase price represents a share purchase of the parent company. The Carp property is an approximately 1,000 acre mixed-use (residential and commercial) real estate development project located in Carp, Ontario, approximately 10 minutes from Kanata and 25 minutes from downtown Ottawa and adjacent to Highway 417. Land uses surrounding the Project consist of a combination of active residential development, golf courses, commercial operations, and agricultural uses. The intention is to sell the Carp land as a development opportunity.
The Carp Road area is anticipated to see significant growth over the next few years stemming from the extension of Highway 417 as well as the growing base of small industrial buildings in areas like Huntley Business Park, only a few kilometers East of the site. This growth is reflected in the increasing demand for homes in the area where average residential prices reached an all time high close to $375,000 in Q1 of fiscal 2014. The diverse project will ensure development of three key aspects (residential, commercial, and the Carp Airport) that will benefit the Carp Area in three phases:
(i) Phase I consisting 104 residential lots followed by an additional 46 lots at a later date. Commercially, 46 zoned acres at approximately 125,000/acre are predicted to take 4-6 months to dispose of;
(ii) Phase II consists of 219 residential lots becoming available. Commercially 53 acres to be sold at approximately $125,000 per acre; and
(iii) Phase III consisting of 331 available residential lots and also 44 acres of commercial lots also to be sold at an estimated $125,000/acre. The project received registered subdivision and covenant agreement approval in early May 2014. The potential revenue of the development is $43,500/acre net of development costs.
Copyright 2013. SMYCORP INVESTMENTS INC. All rights reserved.