Evergreen Gated Community — Exit Strategy
The primary return mechanism is progressive cash distribution from unit sales proceeds. As each estate phase reaches practical completion and transfers occur, net proceeds (after construction costs and debt service) are available for investor distribution. This natural liquidity path does not require…
Section 14 · Business Plan
Exit Strategy
The primary return mechanism is progressive cash distribution from unit sales proceeds. As each estate phase reaches practical completion and transfers occur, net proceeds (after construction costs and debt service) are available for investor distribution. This natural liquidity path does not require…
Delivered through phased unit sales and transfers, with refinancing and estate-level disposal options, on a 24–30% IRR.
14.1 Primary Exit: Progressive Unit Sales
The primary return mechanism is progressive cash distribution from unit sales proceeds. As each estate phase reaches practical completion and transfers occur, net proceeds (after construction costs and debt service) are available for investor distribution. This natural liquidity path does not require a corporate event and provides investors with cash returns commencing from Year 2.
14.2 Secondary Exit Options
Portfolio Sale to Residential REIT
EEH’s retained rental units and commercial nodes represent attractive acquisition targets for listed or unlisted REITs. The stabilised income stream from levies, management fees, and rental units would be marketed at a premium to net asset value, capitalising on the growing institutional appetite for managed residential assets in secure estate environments.
Strategic Acquisition
The Evergreen brand, established government relationships, pipeline of entitled land, and professional management platform represent significant strategic value to larger developers or private equity funds seeking to enter or scale in the premium estate segment. Indicative valuation at 8–12x EBITDA.
JSE Listing
Subject to achieving sufficient scale (3+ completed estates with stabilised HOAs), EEH could pursue a JSE listing as a specialist residential estate developer and manager, providing the ultimate liquidity event for founding shareholders and positioning the platform for national expansion.
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