Business
Genesis Announces $51.8 million in New Financings and Extensions
CALGARY, Aug. 10 /CNW/ - Genesis Land Development Corp. ("Genesis" or the "Corporation") is pleas...
About this update from Genesis Land Development Corp.
[{"type":"text","content":"\n\n\n\nCALGARY, Aug. 10 /CNW/ - Genesis Land Development Corp. ("Genesis" or the\n"Corporation") is pleased to announce that it has secured 3 new financings and\nsuccessfully negotiated 4 extensions of maturities on existing loans totaling\napproximately $51.8 million since May 21, 2009.\n\n\nThe three new financings, totaling approximately $11.3 million include\nthe following:\n\n\n- $3.3 million secured by completed lots in Airdrie and NE Calgary,\n with $8.1 million having been repaid by June 30, 2009.\n\n- A 12 month renewal of a loan agreement for an additional\n $3.5 million, secured by lands in the NW of Calgary.\n\n- An 18 month loan agreement for $4.5 million, secured by lands in\n NE Calgary.\n\nThe four extensions of existing financings, totaling approximately $40.5\nmillion, include the following:\n\n- A housing construction loan of $23.4 million has been extended to\n May 31, 2010. Under the extension agreement, the Corporation must\n repay cumulative amounts of $9,817,000 by August 31, 2009;\n $14,817,000 by November 30, 2009; $19,817,000 by February 28, 2010\n with the balance due on May 31, 2010.\n\n To July 31, 2009, the Corporation has repaid $8.2 million through\n closings of the multi-family home project secured under the credit\n facility. The Corporation also has a further 11 signed multi-family\n sales which are expected to close in August that will contribute an\n additional $2.1 million which will exceed its August 31, 2009\n repayment obligations.\n\n- A land acquisition loan, totaling $13.8 million, has been extended to\n January 1, 2011.\n\n- A land project loan, totaling $1.8 million has been extended to\n November 1, 2009.\n\n- A land project loan, totaling $1.4 million has been extended to\n November 1, 2009.\n\n\nThe management team is working on additional financings using unsecured\nlands/lots in the Corporation's inventory, further loan\nextensions/re-financings and the divesting of certain properties. Despite\nincurring additional financings, Genesis has been able to reduce its overall\ndebt balance with the use of cash flow from the collection of accounts\nreceivable and single and multi family home closings.\n\n\nGenesis Land Development Corp. is a Calgary based land development\ncompany with an inventory of more than 24,000 future residential building\nsites (single-fam...