Friday, June 12, 2009

Why invest with Walton for Land Banking?

For Walton, why they are different from other land  banking companies are their experience in managing their investors investment.

Land banks will only increase in value when people want it. And people will want it if it is useful to them now or near term. if people don’t want it, then it is just a piece of useless raw land. Value will not increase.

According to Walton they add value to raw land through their for strategic process: Acquisition, Syndication, Planning and Exit.

What this basically means is that Walton will do in-depth analysis to choose the best location that are likely to interest developers. this would normally be at the outskirts of a city. Walton would also analyze the population trends etc to determine if this is a good area to sell to investors.

Then, after acquiring the land, they will plan and conceptualize what can be develop on this land which will then be presented to government to get approval.

Every step of this, increases the chances and risks that this land will not end up as a barren useless land that the investors will wait god-damn long years to exit, thus mitigating investment risks.

It is through these 4 strategic trusts that Walton aims to differentiates from competitors.

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