SKAHA CELLARS & RESORT LIMITED PARTNERSHIP
Skaha Cellars & Resort Limited Partnership (the “LP”) has been formed for the purpose of developing a very unique 103 Acre environmental gem parcel of land in Okanagan Falls B.C. The Limited Partnership expects to develop the property in a phased manner. At the completion of each phase of development a review of alternatives and their potential returns will be made to ensure maximum return to the partners while limiting financial exposure. The complete plan includes the following stages:
Plant approximately 28 acres of vineyard;
Develop an international wine brand with our own grapes, together with grape suppliers from South America, Europe, Australia and the United States;
Develop an environmental best practices hotel/spa/condo complex, of approximately 80 rooms / units; and
Develop a unique wine sales facility.
EQUITY FUNDING REQUIREMENT
Up to $10,000,000 (Minimum $5,000,000) for acquisition, planting of vineyard, development of wine brand, planning and infrastructure development for hotel/spa/condo complex.
The property is comprised of three distinct areas, with separate zoning potential:
Approximately 28 acres of Agricultural Land Reserve, Class 1 grape land, which requires some contouring to eliminate frost pockets and ensure maximum potential for the land;
Approximately 15 acres of flat valley bottom. The valley is suitable for planting grapes or development as residential (requires rezoning), commercial (currently zoned specialized commercial) or vineyard (an allowed used under current zoning); and
Approximately 60 acres of rocky hillside, surrounding the 15 acre parcel on three sides, which should be a protected area for mountain sheep habitat and lambing area. This parcel is also zoned specialized commercial.
Subdivision of the property into three lots, to segregate the 28 acres of agricultural land (two lots - zoned agricultural) and the remaining upland and valley areas zoned specialized commercial, has been approved by the regional district. Rezoning is only subject to approval of a restrictive covenant preventing building on the sheep habitat on the upper portion of the property.
Land Discussions are underway with the Province of BC about “swapping” the upland portion of the property for adjacent level crown land. The land acquired by such a swap must be used for commercial development, such as an addition to the hotel / spa.
Brand As Okanagan wines become more mature and available on the global market, their limited availability compared to other regions makes them more desirable as demand increases and supply is limited. Additionally, having the Brand represent the concerns of the planet and be supported by media people with reach, will drive the brand equity component of the Project making it desirable for travelers and investors alike to visit the Project once completed.
USE OF FUNDS
Phase I – Acquisition and Planning
Land acquisition and related costs $ 2,565,000
Contouring of agricultural land 250,000
Planting 28 acres 700,000
Subdivision / rezoning (no residential or crown land acquisition) 100,000
Total Phase I $ 4,000,000
Phase IIA – No Residential or Commercial Development
Phase I Costs $ 4,000,000
Plant 14 acres 350,000
Total Costs – Phase IIA $ 4,500,000
Phase IIB – Residential / Commercial Development (will require additional funds)
Phase I Costs $ 4,000,000
Infrastructure (roads, water, sewer, hydro, telephone) 3,500,000
Construction (portion of first 50 Units) 2,500,000
Total Costs – Phase IIB $ 10,000,000
Sell at Phase IIA
42 acres of planted vineyard $ 7,350,000
Total Costs to Phase IIA 4,500,000
Estimated profit - 3 to 4 year time frame $ 2,850,000
Sell at Phase IIB
Approximately 50 Units $ 33,500,000
28 acres of planted vineyard 4,900,000
Total Costs to Phase IIB 28,000,000
Estimated Profit – 3 to 4 year time frame $ 10,400,000
Murray Swales, CA; 604-209-5994; firstname.lastname@example.org