Frequently Asked Questions

1 – How secure is my Investment?

Your investment is very secure. You become one of the actual owners of the Plaza. The debt to equity ratio is usually around 50% in most of our investments. Most homes have a 75% ratio. Also, all money is handled by trustees – lawyers on money invested and accountants on returns paid to investors.

2 – Can I sell my Partnership Unit?

Yes. Since you are an actual owner, you can sell to anyone at anytime. Redev Corporation will aid in this process if desired. To take full advantage of potential capital gains on the properties we suggest you plan on holding the investment until the whole project sells however.

3 – Are there any extra fees for investors?

No.

4 – How long will the Plaza be held?

This is a medium term investment , past experience has indicated 4 to 7 years depending on market conditions.It is always our intention to maximize returns to our investors.

5 -Is the investment RRSP and TFSA eligible?

Yes, however our RRSP and TFSA eligible investments are structured differently to enable them to qualify as an RRSP or TFSA.

6 – What is the risk in this investment?

The risk is that the economy would weaken so much that businesses would start to close and move out of the plaza. However, this is a true “meat and potatoes” type of plaza, with stores that would weather the storm better than most plazas. Your risk is limited to your investment.

7 – Why is this investment a good one at this time?

Historically the combination of safety and high after tax paid returns have made this investment one of the best on the market. However there is no guarantee that the Kensington Crossing will be as profitable as our other REIG projects have been.

8 – How do I receive the ongoing cash flow from this investment?

Usually within two weeks of the end of the quarter the Trustee distributes the quarterly disbursement to the investors. Most of the investors have this done by direct deposit directly to their bank account.

9 – You say there is a tax deduction the first year, how do I claim that on my taxes?

The Trustee will issue a T5013 form that you attach to your tax return and allows you to claim your tax deduction.

10 – As an owner of the building will I be required to pay for any expenses that come up?

No, with triple net leasing improvements to buildings i.e., painting, cleaning, window washing insurance, property taxes etc are all paid for by the tenants.

11 – What is the minimum investment?

- The minimum investment for the Limited Partnership investment is $10,000.
- The minimum investment for the RRSP is $5,000.
- The minimum investment for the TFSA is $5,000.