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GECC Subsidiary Receives $22 Million Equity and Loan Commitment for Purchase of Land for its 14th GEC Branded Building
VANCOUVER, BC / ACCESSWIRE / December 4, 2023 / Global Education Communities Corp (" GECC " or t...
About this update from Global Education Communities Corp
[{"type":"text","content":"GECC Subsidiary Receives $22 Million Equity and Loan Commitment for Purchase of Land for its 14th GEC Branded BuildingVANCOUVER, BC / ACCESSWIRE / December 4, 2023 / Global Education Communities Corp (\"GECC\" or the \"Company\") (TSX:GEC), (OTCQX International:GECSF) is pleased to report that its subsidiary, GEC Langara Limited Partnership (the \"LP\"), has agreed to purchase two parcels of land (together, the \"Property\") at the north-east corner of 48th Avenue and Cambie Street, within a few metres from the Canada Line's Langara - 49th subway station in the heart of central Vancouver.The Property is located three blocks from Langara College, and future tenants of the Property will be able to easily access the Langara - 49th Canada Line Station, which is approximately a 15-minute subway ride to downtown Vancouver, Vancouver International Airport and the City of Richmond. The Property is fully rezoned and has been issued a development permit, with the building permit approved for issuance. The existing development plan includes a ten-storey concrete highrise tower with 64,000 gross buildable square feet.On November 8, 2023, the province of British Columbia announced its plan 1 to allow Transit-Oriented Developments (TOD) within 800 metres of rapid transit stations, such as along the Canada Line, to increase density. This proposed policy would allow a substantial increase to the height of the tower to be constructed on the Property.Accordingly, the LP plans to re-apply to the City of Vancouver and increase the height density. If successful, the tower could accommodate additional tenants compared to the current 10-storey design. The re-application could take up to twelve months, and the construction will take approximately 30 months. The closing date of this purchase is currently scheduled for December 21, 2023.The LP has also received commitments for a $11 million loan from a commercial lender, $10 million investment by equity, and a subordinated loan from an investor. The LP previously received equity investment of $1.078 million from accredited investors.Recently, the Federal, Provincial and Municipal governments announced various incentive plans to induce rental housing developments. These incentives include:Increased density for Transit-Oriented Developments 1Waiver of Federal Goods and Services Tax for market rental proper...