ProGreen US Inc. (fka PGUS)

[Dmdmd2020]

I found an appraisal report in 2006 for an oceanfront property which is similar to the 5,100 acre oceanfront property that ProGreen closed on January 23, 2017.

http://www.ironmountainmine.com/lighthorse%20complaint/C.%20Appraisal.pdf

2006 comparable in La Paz, Baja California, Mexico approximately 597 acres oceanfront property

Buyers paid $8 million for the vacant land and seller financed $4 million of the purchase price!

$45,000,000 appraisal with master plan

thus $1.73 per Square Foot

5,100 acres = 222,156,000 SF

222,156,000 SF X $1.73 = $384,329,880 (fair market value in 2006)

My earlier post on December 15, 2016 (post#31619):

"Per the most recent PR on December 13, 2016, PGUS is in advanced negotiations regarding 4500 acres of oceanfront property which they plan to develop into a master plan for investors and other developers to participate in.

I found a current comparable property in camalu, Baja California, Mexico (Paradise Cove) which is only 61 miles north of the ProGreen land in El Rosario, Baja California, Mexico.

http://www.bajaforme.com/Resort_Map/page_2090341.html

The lots are subdivided into 10x20 meter parcels. The property is basically untouched with some basic improvements (i.e. Sewer, water, Internet).

The lots range from $9,950 to $99,950 each.

Take a look at the videos and you'll get a better idea of the property.

This is exactly what a basic master plan would look like. Nothing too fancy but it shows what ProGreen can probably accomplish in a short period of time (IMO, within the next 12 to 24 months).



IMO...ProGreen will probably have a higher end master plan than Paradise Cove (a mix of house and RV trailer lots) but it gives a good example of current comps in the area. "
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IMO...my conclusions:

1) The 597 acre oceanfront La Paz property that was purchased for $8 million in 2005 was appraised in 2006 after a master plan was drawn up. Thus, the property, without any major improvements to the land other than completing a master plan, increased in value from $8 million to $45 million in one year!

2) The comparable master planned RV trailer oceanfront property had lots that were selling for as low as $9,950 per 200 Square Meters (2,152 Square Feet).

$9,950 / 2152 SF = $4.62 per Square Feet

Thus:

A) 2006 fair market appraisal was $1.73 per Square Feet

Therefore : 222,156,000 SF X $1.73 = $384,329,880 (2006 fair market value)

B) 2016 fair market asking price was $4.62 per Square Feet

Therefore : 222,156,000 SF X 4.62 = $1,026,360,720 (2016 fair market value using a RV trailer master plan oceanfront property comparable)

IMO...I'll be conservative and guess that in the next 12 months a master plan will be completed and an appraisal will be finished. FYI, the 2006 appraisal was completed within 4 weeks from beginning to end by CBRE.

IMO...my conservative valuation of the 5,100 acre Oceanfront property will be $500-$600 million (midpoint of the two valuations above)