What strategies does Capa-City Inc. employ to maximize shareholder return?
Capa-City Inc. will not over-subscribe an investment. This prevents the dilution of investor returns and shortens the timeline on project profitability. Expenses are not front-end loaded with additional charges such as placement fees. By doing the development in-house, costs are easier to control. The market price of the project is charged to the investment where competitors will purchase the land and add a ‘LIFT’ to the price paid by the investors. The directors of Capa-City only profit if the investor profits. The more money the investors make, the more money the directors make which provides motivation to keep expenses and timeframes as low as possible.