Itacare Capital Investments Ltd Tr Praias moves closer to Preliminary Licence (9602B)

TIDMITA

RNS Number : 9602B

Itacare Capital Investments Ltd

10 April 2013

 
 Date:              10 April 2013 
 On behalf of:      Itacaré Capital Investments Ltd ("Itacaré" 
                     or "the Company") 
 Embargoed until:   0700hrs 
 

Itacaré Capital Investments Ltd

Três Praias project moves closer to Preliminary Licence

The Board of Itacaré Capital Investments, the real estate investment company focused on residential projects in Brazil, is pleased to announce that the Três Praias development ("Três Praias" or the "Project") situated in the state of Espirito Santo, Brazil, has received confirmation from the Institute of Natural Heritage ("IPHAN") that the Project's archaeological studies satisfy their requirements for the issuance of the Preliminary Licence. The Preliminary Licence is the first key authorisation that is required to initiate marketing of the property. This is followed by the Installation Licence and the Construction Licence, which permit the registration of the property, confirmation of sales and start of construction. The archaeological approval is a key value-creating step in obtaining the Preliminary Licence.

Três Praias is the Company's largest project accounting for 40% of the reported NAV and entirely targeted at Brazilian buyers. The Preliminary Licence to be issued is for the entire property, which encompasses the Phase 1 sold to Brookfield and the remaining 90% of the development which is owned outright by the Company.

Based on current processing timeframes by the government agencies, it is expected that the Preliminary Licence will be issued by the end of the current quarter, which could lead to an increase of 5-7% in the Project's NAV in the next reporting period, and that construction will be initiated in H2 2013 as previously reported.

For further information:

 
 Itacaré Capital Investments             Tel: [phone] 
  Chairman, Michael St. Aldwyn                 5976 
 Itacaré Capital Partners                Tel: [phone] 
  Investment Manager, Pedro de Miranda 
 Duet Private Equity                          Tel: [phone] 
  Investment Advisor, David Mattey             8534 
 Cenkos Securities                            Tel: [phone] 
  Stephen Keys, Adrian Hargrave (Nominated     8962 
  adviser) Russell Kerr, Alex Aylen (Sales) 
 Redleaf Polhill                              Tel: [phone] 
  Emma Kane, Henry Columbine, Hannah           4720 
  Fesnome                                      E: [e-mail] 
 

Notes to Editors:

-- Itacaré Capital Investments Limited is a real estate investment company focused on tourism-real estate developments in Brazil. The Company acquires large parcels of land at strategic locations that can be developed and sold to end users with the intention of achieving a minimum IRR of 25 per cent.

-- The Company invests in projects at an early development stage or in strategic land sites that can be acquired at a discount to open market value at current usage.

-- Itacaré Capital focuses on beachfront parcels with particular geographic characteristics that maximise sea views and reduce the need for expensive landscaping thus translating into higher margin.

-- Itacaré Capital either recruits or looks to partner with local developers to maximise the value of its land investments.

-- Itacaré Capital aims to create a development that is better than the best quality development in the local area in order to achieve maximum pricing power.

-- Itacaré Capital focuses on high quality residential developments that typically include a number of holiday or second home units, luxury hotels and leisure components. Approximately 70% of our portfolio is targeted to domestic buyers.

-- Further information is available at www.itacarecapital.com

This information is provided by RNS

The company news service from the London Stock Exchange

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