Real Estate Investments – Our Core Business
LIG Assets has expertise in residential and commercial real estate, both existing properties and new construction. At the end of 2012, the Company owned about 300 residential properties – most of which are single-family dwellings – throughout Texas. In the majority of properties, LIG purchased these homes well below the current market value.
In December 2012, LIG Assets formed a “Strategic Alliance” with Texas Real Estate Hedge Fund, LP, MMR Realty Advisors, and InterContinental Real Estate Partners that is focused on commercial properties including multifamily, retail, hotel, casino, and office with valuations between $3 million and $100 million. Victor F. Russell, Managing Director of Texas Real Estate Hedge Fund, is considered to be an expert in the commercial real estate market.
In early 2013, The Strategic Alliance completed its initial transaction with Terry’s Supermarket and plans to help the grocery chain open a total of 10 locations for its new premium concept. A 20-year lease was signed for the first location, and additional potential locations have been identified. The Strategic Alliance continues to view that anticipated profit from turnover and/or leases is significant, and the opportunities to take positions in distressed and special situations are fantastic.
Developing and Building New Real Estate Projects
LIG Assets recently entered into an agreement with one partner to acquire properties in Texas for use as hotels. The properties may be existing structures that would be refurbished, or built to suit the client and leased back. The acquisition and lease back model is similar to the agreement involving Terry’s Supermarkets.
The hotels are expected to have between 40 and 150 rooms with the potential for expansion. LIG Assets has identified several properties to meet this need and plans to provide further updates in the near future.
With or without the Strategic Alliance, LIG Assets plans to get much more active in developing and building new real estate projects for operation by its clients.
LIG Entertainment Management, Inc.
This division was started to assist with the finance of movies in Texas. Although LIG Assets is clear that this is not the core focus of the Company, it expects to earn a substantial profit from its investment to help create two movies. The first movie is called “HOA: The Movie” starring Daniel Baldwin.
South American Properties
LIG Assets recently acquired controlling interest of another public company called Texas Hills Country Barbecue (THCB). A filing with FINRA has been submitted to change the corporate name to South American Properties, Inc. The new direction of this entity will be to acquire and develop real estate properties and other income generating assets located in South America with a more specific focus on the country of Peru.
LIG Assets expects to discuss how this acquisition will benefit LIGA shareholders in the near future and its overall strategy in more detail.