NEWS OUT,"LOI" to purchase a resort development in Costa Rica. According to the PR they gotta build it first. GEEEZ
Commonwealth American Financial Group/James Monroe Capital Purchasing Resort Development
E-mail | Print | | Disable live quotes Last Update: 8:30 AM ET May 16, 2006
CHICAGO, May 16, 2006 (BUSINESS WIRE) -- Commonwealth American Financial Group, Inc./James Monroe Capital (Pink Sheets:CWFG) today announced that the company intends to purchase a resort development project.
Dr. Julio Jane, partner/developer, inspected the property, negotiated with the seller, and signed a letter of intent on a deal that will buy a $5.5mm (appraised) 31 acre beachfront property in Punta Uva, Costa Rica, for $1.5 mm. Bradford Funding will finance 98% of the initial loan disbursement of $3mm needed to close and begin construction.
James Monroe Capital will own approximately 43% of the corporation which already owns the land. The entire project is estimated to be valued at $20mm when completed 2 years from now. The closing is scheduled to happen in 90 days to allow time for due diligence.
Dr. Jane, who also has an MBA, will be overseeing the $10mm development project, along with Carr Pechtel, Sr., a Costa Rican land baron with an MBA from Harvard.
Dr. Jane said, "This is the most beautiful beach on the Caribbean coast of Costa Rica. The rainforest is lush and cool. We saw monkeys there, a coral reef, and all kinds of wildlife. It even adjoins a national reserve which can never be developed. Our resort will give people the opportunity to experience nature without hurting it."
Photographs taken of the property will be posted on the company website, at www.jamesmonroecapital.com within the week. Please note corrected phone number below.
This press release does not constitute an offer of any securities for sale. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ, including, without limitation, the company's limited operating history and history of losses, the inability to successfully obtain further funding, the inability to raise capital on terms acceptable to the company, the inability to compete effectively in the marketplace, the inability to complete the proposed acquisition and such other risks that could cause the actual results to differ materially from those contained in the company's projections or forward-looking statements. All forward-looking statements in this press release are based on information available to the company as of the date hereof, and the company undertakes no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this press release.
SOURCE: Commonwealth American Financial Group
Commonwealth American Financial Group Chris McGovern, 847-418-3848 Copyright Business Wire 2006
