Land Banking Version PPT
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The Right Choice ...Smart Money for Life
Present Conventional Wisdom
The American Dream...
Bubble and Burst: 30-year history!1980Gold Bubble Bursts
Scandinavian Bank Stocks Burst
Internet Bubble Burst/ Dotcom Meltdown
Shangai Surprise Chinese Stock Market Burst
Banking Bubble Burst with Bailouts
1982Mexican Bond/Debt Market Burst
Japanese Stocks Burst
Latin America Debt Burst
2009Bust, not just a Burst of global retirement assets
2010May of 2010 the Fat Finger Mistake
US Mortgagebacked Bonds Started to Burst
The Value of Land: An Example
30 Years Ago$60,000 would have bought you a nice house in Silicon Valley or Orange County. Today that same house sells for around $650,000. An 8.2% compounded Annual Return
Back then, there was a choiceJust 3 to 5 miles away, five acres of PREDEVELOPED land was selling for the same $60,000. Thats $12,000 per acre.
NowThat same land sells for $1 $2 million per acre. Thats 83 to 167 times the original price As much as a $9,000,000 profit. Over 18% return.
Perception vs. Reality
If in 1978, you had purchased a home in Silicon Valley or Orange County for $60,000, the land would have been valued at about Note: Average market values from $9,000 and the Santa Clara County Assessors Office house at $51,000.
$300,000 $210,000 $60,000 $9,00085% 30%
Land continues to appreciate, while your house continues to depreciate!
What is Land Banking?
Land Banking is the timetested Wealth Building Strategy of:
Acquiring select pre-developed land in the growth path of a major metropolitan center.
Waiting for its value to mature.
Selling it for a significant profit in the future.
The Principle of Supply and Demand
Why Land Bank in California?
Population Growth Largest Population in the U.S.38 million CA grows by the size of one new Sacramento every 8 months Worlds 8th Largest Economy Limited Land Availability(Farm or Pre-developed)
82% Wild Land
10% Already Developed
The Perfect 10!
Northern Los Angeles CountyThe Los Angeles Megalopolis: Includes parts of Los Angeles, Ventura, Kern, San Bernardino, and Riverside counties. It is a 60-mile radius and an economic giant of domestic and international significance.
Again, its about LOCATION, LOCATION, LOCATION!
10 Key Indicators That Make Land Valuable
1 2 3 4 5
Level, Usable Land Abundant Water Supply Accessible by Planes, Trains, and Automobiles Adequate Utilities for Massive Growth Ample Educational Facilities: Preschool to College Level
Close Proximity to Major Metropolis Prime Growth Industries in Place and Expanding Huge Commercial and Residential Development Studies Projecting Healthy Population Growth Regional Master Plan for Community and Municipal Infrastructure
6 7 8 9 1 0
The Southern California Opportunity!
San Fernando Valley1950: 250,000 populationAt that time the L.A. Planning Commission stated that by the year 1960 the San 1960: 1,100,000 people! Fernando Today: Valley would haveover Population is a population 1,750,000! of 750,000.
Orange County1955: 216,000 population The Planning Commission statedthat in 10 years there would be 500,000 people 1965: 775,000 people! residing in Orange County.
San Diego1960: 200,000 population Their County Planners believedthere would be at least 1,000,000 people in San Diego by 1975.
Today: There are over 3,000,000 people!
1980: 2,250,000 people! Today: There are over 3,000,000 people!
1952 1965 1969
In 1978 the population in Antelope Valley was approximately 95,000.
Currently the population in Antelope Valley is approximately 500,000.
With thousands of new affordable homes and commercial developments.
Avenue E APN: 3201-001-016 $27,341.77/acre
80th St W
90th St WAPN: 3220-011-025 $29,303.48/acre APN: 3219-006-006 $25,510.20/acre
Subject APN: 3220-010-010 $18,000.00/acre
70th St WAvenue F
APN: 3268-001-037 $27,358.49/acre
APN: 3268-006-065 $20,000.00/acre
Who Is Ace?
Ace Capital Group is a specialized company dedicated to purchasing and selling carefully selected California pre-developed land for the purpose of Our Owners have land banking. GreenDeed is ourbeen in the Land Banking business for over four decades!
exclusive product that can be customized to meet your individual goals.
Our research, property acquisition, transaction, and compliance teams have hundreds of cumulative years experience ensuring that your GreenDeed parcel will match your unique needs.
Mr. and Mrs. Chen C. WangFounders, Owners, & Principals