M. Cynthia Di Rocco
Toronto, ON (CAN)
Role(s):
Founder/Owner/Principal
Lion Crown Real Property Investments, Inc.
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Startup
Location:
Toronto
Industry:
Real Estate
Year Founded:
2016
Number Employees:
1-10 people
Business Stage:
Creation/Idea
Entity Type:
Incorporated Outside United States
Description:
Renovation and resale of residential properties; multi-family income properties; commercial income properties, offering competitive advantage with value proposition of value-added offerings to purchasers and to lessees.
Federally incorporated in Canada and registered in Ontario on July 8, 2016. Corporate website is (URL removed)
In start-up stage. Canada-wide business activity potential. Scalability to cross-border and international opportunities.
The PROBLEM is that the market currently (May, 31, 2017), for some time, and for the foreseeable future, has very high demand for single, detached family homes, compared with very low supply of such homes by developers and builders, most of whom have been focusing on constructing condominiums and townhouse complexes. However, the problem is compounded with a huge inventory of existing homes that are in need of renovation. The SOLUTION for this problem is by acquiring them, renovating them, and then, reselling them. A move to the next property/properties follows.
I already remodeled and resold a condominium suite in Richmond Hill, Ontario for a $120,000 profit between the remodeling and having owner-occupied it a few years, saving me from having to pay capital gains tax on the money made - and only on a condo suite; over the years that I occupied the place, the market value steadily increased. It was listed on the MLS and a cash buyer expressed interest, wanting a quick 1 month closing. Together, these factors enabled this profit upon resale. It inspired me to do this as a business. My father, although he was a professional welder, also renovated houses in Hamilton, Ontario, and retained other properties for regular income potential. I learned from him and am currently in my last year in college studying Entrepreneurship and Small Business Management for breadth of study and knowledge base to start and succeed in such a venture.
Having recently conducted Secondary and Primary Research, and put idea to industry experts, such as an investment banker, an accountant, realtors, a contractor, a banker, college professors, a business incubator, etc., validates the business vision, and speaking with college students, networking event attendees, friends and relatives, all provides further validation. The business can reduce costs and expenses by building on unique relationships, such as a realtor who will reduce his commission to 1% by giving him regularly returning business and a contractor who will provide a discount on bulk renovations with 3 or more properties at one time, etc. Other unique relationships are being formed.
People want to enter the market, exiting rental accommodations; new and growing families need larger homes; professionals and executives may want a larger or second property; seniors will want to downsize to smaller accommodations; high number of new immigrants now who come with money from their country of origin will want to purchase a single, detached family home; all, with their purchase price justified by the renovations done, features put in, and value add-ons. Resale will be in line with local comparable sold properties.
An Investor's funds will be secured by the same properties; return of investment and a fair share in the return on investment will be transacted by the lawyer handling the resale. This high profit potential business operates on a project-by-project basis, and is very scalable.
Need investment for start-up, development and growth, intellectual property rights, professional teams, business office, business motor vehicle, office furniture, telecommunications, hardware and software, business and property insurance, extra-provincial business registrations for national jurisdictions activities, setting up a U.S. entity with a resident agent (for foreign nationals), insurance on each project, funds for travel and rental vehicles, and working capital. Working towards a win-win-win outcomes for all interested parties. Please invest!