Investing with Okanagan Land Bank

Okanagan Land Bank was established to provide investors an opportunity to benefit from the upcoming growth in value of property in the Okanagan, due to migration of the baby boomers.

Investments are structured to be RSP or RIF eligible and are secured by first claim on land and building property.

Financial Institutions currently charge anywhere from 5% to 9% interest on business loans while paying anywhere from 1% to 3% on consumer savings deposits. This is the investors opportunity to play the bank's role, to lend directly to the mortgagee without the middleman, earning higher returns without sacrificing security.

Current Offering

Okanagan Opportunity Fund
8% annual interest
Minimum subscription	10 units
Each Unit	$1,000
Maximum Units	1,200
Term	3 years

Purpose of Financing

To provide capital for improvements to the following buildings located on 27th Street in Vernon BC's historic business district.

Carew House (circa 1894)

Captain Carew built this grand home for his family while he served as Vernon's mayor in the late 1800's and early 1900's. The building is currently separated into 6 complete suites. The intent is to turn the building into a short term character lease property, available at weekly rates. Renovations will include power upgrade, character renovations, character furnishing, authentic period appliances and landscaping suitable to the original build period. Work is currently under way.

Spa Building

Adjacent to the Carew House is a 1940 bungalow on 1/4 acre on the 2nd busiest street in Vernon. The original cost of the property is $400,000 and repairs of $100,000 have already been undertaken to replace plumbing, electrical, roof, insulation, windows and exterior stucco as well as regrading and drainage. Rezoning of the property from residential to commercial is waiting on final drainage engineering requirements for the site. Landscaping, fencing and paving are required as well as leasehold improvements for the laser spa are required. Laser machinery and equipment totalling $250,000 will be purchased. Work is currently underway.

Minimum of $600,000 will be directly invested into the 2 properties, with the balance replacing current personal financing for the owner. Currently these 2 properties are valued at a combined total of $1,300,000. After cash infusion, the minimum value is expected to be at least $1,700,000 without the equipment value of $250,000. Security for the loan is the land, buildings and machinery.