TORONTO, December 19, 2017 – Plaza Partners – The Donway Fund today announced that it has completed a $32 million capital raise led by Cranson Capital Securities Inc. with participation from Canaccord Genuity, Richardson GMP and Introduction Capital. Funds raised from over 220 accredited investors have been used to purchase four four-storey apartment buildings on a five acre site at 1053 Don Mills Road and 2,4,6 The Donway East. The Fund’s management believes that the site has high potential to obtain increased density for future development and projects property value to grow significantly over the next five years offering investors a targeted total return of ~122 per cent.
“As demand for new housing continues to outpace supply, value of developable land continues to rise. Plaza Partners has given investors the opportunity to participate in the land appreciation by offering a ‘buy and hold’ investment” said Pinny Kaufman, Director and Officer of the General Partner.
Several key forces are expected to sustain the demand for GTA housing and resulting land price growth that Kaufman references. “Toronto employment is strong, rental vacancy has fallen to historically low levels and the GTA is projecting population growth of 2.5 million by 2036” said Devon Cranson, President and Founder of Cranson Capital Securities.
“With the GTA’s scarcity of land, there is significant upside potential for investors who purchase land that is currently being under-utilized. That’s exactly what we’ve offered investors with Plaza Partners – The Donway Fund” added Cranson.
In addition to Plaza Partners – The Donway Fund, Cranson Capital has recently led successful capital raises for Plaza’s 5888 Yonge Street Fund and the Plaza Land Fund. To learn more about investment opportunities with Cranson Capital please visit cransoncapital.com.
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 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 entrepreneurs.
This press release contains “forward-looking statements” including statements with respect to Plaza Partners – The Donway Fund’s potential returns and appreciation of land values. All forward-looking statements are based on current beliefs as well as various assumptions. By their very nature, forward-looking statements involve inherent risks and uncertainties. Readers should not rely on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially. Plaza Partners – The Donway Fund does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of Plaza Partners – The Donway Fund except as may be required by law. This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities of Plaza Partners – The Donway Fund.
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