SINGAPORE-based real estate marketing firm Capital Asia Group Pte Ltd (CAG) has launched its latest land investment product, Ho’olei (Crown of Flowers), on the north-western coast of Big Island in Hawaii.
Ho’olei is a approved development land fully owned by Aina Le’a Inc, which plans to build 70 single-family luxury homes with 2,800 undivided land fractions (ULF) for sale to mostly individual investors in Asia.
CAG business development director Paul Tan said the company has been given the exclusive marketing rights to assist the land owner to market 2,800 ULF development land projects in Ho’olei.
“Each of the ULF is set affordably at US$9,600 with warranty deed and registered under the investors’ names as lawful owners to the land purchased,” he said.
He said the strategy for this land investment is known as FIFO (first-in first-out), whereby the investors will own a percentage of the entire 8.7ha, which has 1/2800 interest.
The investors will be designated a running number according to the date of their purchase.
The moment a desired builder comes along and purchases the land lots, the first num-ber in the ULF purchased will exit, Tan explained.
“This will offer the investors the possibility of an exit earlier than 36 months, while enjoying the full 36 percent returns,” the business development director said.
The investment time-frame is fixed at 36 months with an assured return of 36 percent.
Tan said the previous development land investment product, Lulana Gardens, an affordable housing project in Big Island of Hawaii, providing 30 percent returns in 30 months, have been fully taken up.
“It has provided much publicity for CAG as well as successfully syndicated over US$42 millions, and is well on its way to exiting the investors in the coming months,” he added.