Based on research it has commissioned into the South Florida residential property market, the company is readying $20 million worth of limited liability partnerships guaranteeing 8% annual returns from residential properties in the region.
These partnerships are targeted at UK investors and promise minimal risk and high liquidity, plus a straightforward and personal investment approach.
Dr Robert Deason, Director of Crown Property Estates contends that decimated US property values are the very reason why investing now is a shrewd move.
He comments: "The anaemic condition of the property investment market in the US makes it possible bulk-purchase properties for up to 55 percent less than normal market price.
"Furthermore, the strength of the pound against the dollar gives UK investors almost double the buying power. Quite simply, there has never been a better time to buy.
"Crown Property Estates' "buy and hold" operating philosophy offers an important advantage to investors. We purchase properties when prices are low and hold those properties until the market recovers.
"This approach differs markedly from other real estate investment pools, which continually turn over assets that may or may not appreciate."
In mid 2008, Crown Property Estates will purchase $20 million worth of highly-discounted condominiums properties on the Intracoastal Waterway in West Palm Beach. Following this acquisition, the company will offer 30 limited liability partnerships (LLP) valued at $600,000 each.
Throughout the period that Crown Property Estates holds the properties, an on-site management company will lease individual condominium units to winter tourists and leisure travellers.
Long-term lease agreements with tenants will create predictable income streams that are passed through to investors each month, at a guaranteed minimum of 8% for a period of five years or until the properties are sold. The LLP structure limits liability to the amount of the initial investment.
When the market recovers, Crown Property Estates will sell the properties and each investor will receive a return from the appreciation of the property. The partnership will then be dissolved.
As an added benefit, investors and their families may holiday for up to two weeks each year in the West Palm Beach area, staying in the condominium units owned by the LLP.
