SAN DIEGO, Jan. 27, 2022 (GLOBE NEWSWIRE) -- International Land Alliance, Inc. (OTCQB:ILAL), (“ILA” or the “Company”), an international land investment and development firm utilizing proptech, today issued a letter to shareholders from Roberto Valdes, Chairman & Chief Executive Officer of ILA.
Dear Shareholders,
Our mission at ILA is to build a compelling portfolio of properties in Northern Baja California using proptech (property technology) and construction tech advanced applications for the creation of sustainable and socially responsible communities. Over the last year we’ve made significant strides toward achieving that mission with progress across our portfolio that are positioning us for a strong year ahead.
Before I discuss 2021, I would like to give a reminder of why ILA exists. At its core, the opportunity is simple. More U.S. and Canadian expats live in Mexico than anyplace else in the world, with more than 1 million residents. This trend is expected to grow with 10,000 baby boomers in the U.S. reaching age of 65 every day for the next 19 years, thanks to Baja’s vibrant culture, affordable cost of living and excellent healthcare. Combined with the unaffordability of homes in California and the Southwest, the Northern Baja region of Mexico is attracting increasing levels of attention where land prices are still relatively low. ILA is focused on acquiring attractive raw land for development in this region to sell desirable properties at competitive prices with favorable financing options for individual purchases and/or bulk purchases for all types of investors and buyers.
According to a recent report by Savills Research, real estate is the world’s largest and most important asset class. All of the property in the world, including commercial and residential property, is worth an estimated $228 trillion. The residential property market is estimated at $168.5 trillion, or three quarters of the global property market. North America holds over a fifth of the world’s total residential asset value, despite having just 7% of the world’s population. We believe this growing trend bodes well for our real estate communities and our business plan.
Whether used in residential, office or commercial buildings, proptech uses rapidly advancing technology to enhance the experience inside residential, office and commercial buildings. According to the Center for Real Estate Technology & Innovation's 2021 Real Estate Tech Venture Funding Report, proptech’s rapid growth attracted a record-breaking amount of venture capital in 2021, as private investment into the sector hit $32 billion, which was a 28% increase from 2020. ILA is on the cutting edge of proptech's disruption of the real estate market, and we believe its utilization in our plans will put the Company significantly ahead of our competition.
In 2021 ILA devoted considerable time and resources to making progress against our development plan and obtaining the necessary permits to build this compelling portfolio of properties. Our emphasis at each property has been on consistent excellence in development and design at our projects developed as second home, resort or retirement destinations in a planned community setting.
At Oasis Park Resort, a 500-acre eco-friendly, off grid community, we recently restarted allowing prospective homeowners and existing lot holders to tour the property again, resulting in multiple sales closings and commitments for new home construction. 75 of the 1,344 planned residential lots at Oasis Park were pre-sold to initial stakeholders. Significant construction progress for Phase I of the project has allowed us to complete the two-mile access road and the community entrance structure. ILA is currently in Phase II of construction, which includes the waterfront clubhouse, casitas and model homes. We have sold 3 home sites and received a down payment on the first new home construction contract at Oasis Park Resort to build a 2BR/2BA home.
At Valle Divino, our premier wine country development, we have commenced construction on a model home, three casitas and a clubhouse for wine tasting aside our recently expanded two-acre vineyard. This development will also have innovative microgrid solutions by our partner CleanSpark to power our model home and amenities. Through December 31, 2021, we had presold 13 home sites at Valle Divino.
Plaza Bajamar is located within the internationally renowned Bajamar Ocean Front Hotel and Golf Resort. Our partnership with CleanSpark (NASDAQ: CLSK) is a key differentiator for our community with sustainable, advanced solar-plus-storage power solutions. There we have completed a 2BR/2BA model home, an enhanced entrance and interior roads, as well as site preparation for 4 new homes adjacent to the model home at Plaza Bajamar. We are now moving to the next phase, which will provide all units in the community with solar microgrid installations supported by our software solutions.
Our Rancho Costa Verde property, which is located 8km north of Oasis Park Resort, has experienced better than expected sales since our acquisition of a 25% interest in the development. At Rancho Costa Verde more than 900 residential lots have been sold to date, 50 homes have been completed, over 20 homes are under construction, and approximately 30 additional homes have been planned for development. With an on-site boutique hotel and restaurant, we are welcoming visitors to come visualize themselves being a part of this self-sustained, solar-powered community. At our last sales tour of the year, we had 100% occupancy at the on-site hotel and had 10 home site sales and 2 home construction sales, with an average lot sale of $25,000.
We enter 2022 in a strong position, strengthening our balance sheet by successful raising $2 million, which we are utilizing for construction, sales and marketing at each of our development projects in Mexico. We have taken steps to optimize sales and marketing expenses at all of our properties and continued the development of our interactive website for visitors to view home sites, condominiums, and villa options and allow customization.
Looking ahead, we are highly focused on leveraging the increasing number of visitors to the region to showcase our properties and build sales momentum. We continue to work actively toward our anticipated uplisting to a major U.S. exchange in the first half of 2022, which we expect will attract institutional ownership and additional research coverage. Together, we remain focused on our goals and are looking forward to sharing our accomplishments in the coming year as we strive to create value for our homeowners, shareholders, and communities, and we thank all of you for your dedication to our mission.
Sincerely,
Roberto Valdes
Chairman & Chief Executive Officer
About International Land Alliance, Inc.
International Land Alliance, Inc. (OTCQB:ILAL) is an international land investment and development firm based in San Diego, California. As its core mission, the Company has embraced technology for sustainable and socially responsible solutions, in addition to using proptech and construction tech advanced applications to meet these goals. The Company is focused on acquiring attractive raw land primarily in Northern Baja California, often within driving distance from Southern California. The Company serves its shareholders by devoting considerable time and resources to seeking out the finest sites available and obtaining the necessary development permits to build a compelling portfolio of properties, which provide a diversity of investment and living options. Please visit: www.ila.company.
Safe Harbor Statement
The press release may include certain statements that are not descriptions of historical facts but are forward looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section21E of the Securities Exchange Act of 1934. These forward-looking statements may include the description of our plans and objectives for future operations, assumptions underlying such plans and objectives, and other forward-looking terminology such as "may," "expects," "believes," "anticipates," "intends," "projects,” or similar terms, variations of such terms or the negative of such terms. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements made herein. Such information is based upon various assumptions made by, and expectations of, our management that were reasonable when made but may prove to be incorrect. All of such assumptions are inherently subject to significant economic and competitive uncertainties and contingencies beyond our control and upon assumptions with respect to the future business decisions which are subject to change. Accordingly, there can be no assurance that actual results will meet expectation and actual results may vary (perhaps materially) from certain of the results anticipated herein.
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