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Lakeland - JV Proposal

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L A K E L A N D C O M M U N I T Y M A R K E T P L A C E 2 Over a 12 month period, we will construct Phase 1 - 128,000 sq self-storage facility consis ng of 859 self-storage units as well as over 9000 sq of main floor retail space, a roo op greenhouse, tunnel carwash. The exis ng gas bar, convenience store will con nue to operate during construc on of Phase 1. Phase 2 will consist of 388 addi onal indoor storage units, a 60 car storage vault as well as enhanments to the exis ng gas bar and convenience store. THE SELF-STORAGE INDUSTRY Simple to construct, simple to operate, easy to rent — self-storage opera ons offer access to one of the fastest-growing commercial real estate sectors in Canada. Self-storage does well in recession when foreclosures and other forms of disloca on flood the spaces with the keep-ables of be er days. In good mes, that means net new growth, more people moving, more churning, and an overall mobility. That fric on means people don't always have a place for their stuff. As you can see, self storage wins in all economies. According to Investopedia, 50% of new business ventures succeed in the first five years, but an amazing 92% of self-storage startups succeed. SOLID SELF-STORAGE EXPERTISE We are capitalizing on the experience and opera onal training that we received while working with Shurgard Storage, which is one of the largest self-storage companies in the world. We will be implemen ng many of Shurgard's construc on and opera onal policies and procedures. By following the leader in the self-storage industry, it will make our endeavor more successful and will provide for the greatest return. We believe our investment partnerships are best served with a high level of transparency and communica on. A NET ZERO ENERGY FACILITY Given our group's commitment to sustainable development, this project provides a unique opportunity to demonstrate a new clean and integrated energy concept and water re-use technologies that other developers could adopt in Canada and the United States. The development will be ideally suited to a high-efficiency, natural gas Combined Heat and Power (CHP) and solar PV microgrid system that will significantly reduce electricity demand from Alberta's coal-fired power plants. An 'exergy' approach will be taken to fully u lize all the available energy. The Government of Canada makes clean energy projects, such as solar energy, wind energy and energy from waste, more fiscally a rac ve for industry by providing business income tax and other incen ves. Certain capital costs of systems that produce energy by using renewable energy sources or fuels from waste or that conserve energy by using fuel more efficiently are eligible for accelerated capital cost allowance. COMMERCIAL ROOFTOP GREENHOUSE Poten al operator/leasers have also expressed interest in leasing the roo op commercial greenhouse space of this development. Our first phase will be approximately 28,000 square feet and then an addi onal 20,000 square feet of roo op greenhouse space on the phase 2 building. One of the benefits of leasing roo op space for a greenhouse is revenue from typically non-rentable space because its usually obscured with HVAC and Mechanical equipment. Our Net-Zero building's roo op has no mechanical HVAC equipment which makes it ideal for a greenhouse. Local restaurants and grocery stores can rely on fresh, daily, high-quality organic produce that is not dependent on high- distance transporta on. We expect to have a long- term lease prior to the start of construc on. PREMIUM TUNNEL CAR WASH The market is anxious to get a car wash in the area. A car wash in the facility will add a tremendous amount of value in several different ways. The Lakeland Marketplace is situated in a premium loca on with a lot of local traffic; accessibility is Super Center Self-Storage is being developed at an excep onal Sherwood Park loca on. This is an excep onal opportunity in an underserved market area.

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