Project Overview

The Partnership hopes to become a leading syndicator of single-family homes categorized as Real Estate Owned ("REO"). Through such syndications the Partnership intends to capitalize on today's wealth building opportunities. Houses targeted for acquisition by the Partnership are expected to have an acquisition cost of between $50,000 to $450,000, however the suitability of a home for acquisition as a Portfolio Investment will be determined primarily by the loan-to-value ratio rather than its acquisition cost.

The Partnership believes that by limiting purchases to bank-owned properties it will be able to acquire some or all of the Portfolio Investments for an acquisition cost that is below seventy-five percent (75%) of the Fair Market Value thereof. Properties will primarily be purchased through one of three (3) methods: (i) purchases made at REO auctions; (ii) purchases made directly at courthouse auctions; and (iii) purchases made directly from lenders in possession of homes. Given the current state of the U.S. real estate market, houses listed for sale at seventy-five percent (75%) or less of Fair Market Value are readily available due to, amongst other things, the growing number of properties going into foreclosure, the increasingly stringent lending policies of financial institutions and the lack of consumer confidence in the U.S. real estate market.

Large amounts of market research will be needed to keep current with prices and trends in the marketplace. The Partnership feels confident in its research capabilities as a result of management's experience in the field and technological innovations. Management, together with GIC Investments Corp.,
an Affiliate of the Partnership, has been helping people stay in their homes in Western Canada for the past eight (8) years. Relying on this experience, management intends to use the Partnership as a vehicle to offer investors a means to purchase distressed single-family homes for sale in the U.S. real estate market at a discount to their Fair Market Value. The goal of the Partnership is to outperform the overall market and management believes that the most efficient way to achieve this is via a single, diversified vehicle and by avoiding the creation of overly complex investment structures such as those employed by some institutional investors.