What are the risks to the pre-finance capital and liquidity support investors?
The pre-finance capitalan investment opportunity offered only to accredited investors, will be fully at risk. If the CCRC does not move forward, all or part of the investment may be lost. Key risks during the pre-finance period include, but are not limited to: inability to obtain long-term financing; failure to achieve required pre-sales; failure to obtain required site plan approvals; failure to provide evidence of liquidity support; and others. Investors will receive a risk-adjusted return (11-12% tax-free) on their investment. The liquidity support fund is intended to act as a backstop for the CCRC if it experiences issues following opening. The liquidity support fund is planned to remain whole and unused. However, if the CCRC does experience difficulty, investors exposure would be limited to the amount of the fund (approximately $6 million in total). Investors will also receive a risk-adjusted return on the liquidity support fund.
