Edmonton Real Estate Investor: May 2011

Alberta Oil Sands Investment Real Estate News® Glenn Simon Inc., Suite 1217, 5328 Calgary Trail NW, Edmonton, Alberta, Canada. Tel 1-888-780-5940 Fax 1-888-276-4517  www.glennsimoninc.com email: info@glennsimoninc.com  

June 1st., 2011  Volume 10, Issue 5  

Dear Friends and Partners,

I moderate my doses of news as so much of it is unhealthy; unhealthy reporting, topics and servings of negativity. With that said I do tune into a few CBC Radio programs and they have had extensive coverage of the Slave Lake fire. I have found the interviews of the residents powerful. CBC reporters had spoken with folks who were literally breathless from having run to escape the flames. Other coverage took place from makeshift shelters in Athabasca. And more recently from the parking lot of a nearby town, as buses departed taking residents on a trip back of the remains of Slave Lake, touring neighborhoods where fire disintegrated more than three quarters of the homes to smoldering ash.

Imagine that for a moment. You're at home with your kids when suddenly you get a knock at the door telling you you have to leave - right now. You grab the kids, your pets and not much else. As you try and flee town you realize the fire is much worse than you thought as your only escape is a dusty, smoky, potholed back road lined with an inferno of blazing orange trees, collapsing helter-skelter around you. The next couple days are a blur as firefighters from all over Canada are sent in to help put out the fire - but it is stubborn and takes days. You still don't know if your house or business survived. Fast forward to last Thursday when residents did get to go back, many of which had lost their cars, homes and places of employment.

CBC interviewed these folks and the matter-of-fact resilience was amazing. Many people were optimistic to rebuild and excited that a few landmarks remained. They might have lost almost all of their material objects save the intangible memories they shared in their homes - but they are optimistic! I certainly hope I would be. Of course there are folks rightfully bewildered by loss and despair but the overwhelming majority shares a bespoke 'Getter Done' attitude to rebuilding.

Take a bit of that resilience today and magnify it back in the things you do; let it grow and go back to those people and the people in your family and community.

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West Central Edmonton: Cashflowing Six-Plex In Queen Mary Park

Turbo charge your portfolio. Upgraded 1978 built 6-plex with separate entrance to all units. 4 functionally finished 710 sqft. 1 bedrooms on main, plus 2 upgraded 650 sqft. 1 bedroom suites up. The upper suites have laminate and fresh paint. There is a common laundry room in basement. The lower units have new paint and some fixtures as well. Lower suites walk out to a private grassy, fenced yard. There is a 2 car detached garage bringing in additional revenue. 10 minutes to NAIT, Grant MacEwan and Downtown. Fast access to Yellowhead Highway and on the bus routes. These pictures show the detail and care that went into building this quality home.

Comes complete with great tenants making this a totally turn-key property for you. Convenient Central area with easy access to transit and downtown. Excellent transitional neighborhood with solid value and stable rents. HUGE upside potential due to the great purchase price, strong economic fundamentals and the proximity of this home in relation to Edmonton's developing core.

Produces $675.87 positive cash flow per month using an investor's mortgage plan - taking advantage of current low rates.

Purchase price: $525K Total Investment: $126K. Your Estimated 5 Year Profit $76K.Your pre-tax Total ROI is 60% or 12% per year + $980 Cash Flow in Your Pocket Every Month

Poised for massive growth. These 6 suites rent for top dollar and have everything arranged, including financing structure and incredible tenants. Your investment includes: renovation costs, financial analysis, professional inspection, insurance, financing set-up, legal fees, basic accounting, reserve fund, CMA, bi-annual statements, strategic market planning to ensure successful entry and exit, plus much more!

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Calgary Rental Company Offers Free Apartments For Slave Lake Fire Victims

By Clara Ho, Calgary Herald. May 24th 2011

CALGARY — A Calgary-based apartment rental company is offering 50 Edmonton suites to Slave Lake fire victims free of charge for up to three months.

“When I was watching TV, I saw many guys sleeping in gyms, sleeping bags, in cars, and my heart bled for them,” said Bob Dhillon, CEO of Mainstreet Equity Corp., which owns 8,000 apartment units across Calgary, Edmonton, Saskatoon and Vancouver.

“What we can offer is accommodation. We want to give them an opportunity to get their life together.”

READ MORE
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Expect To Pay More For Food, Power This Summer: National Energy Board

By Dina O'Meara, Calgary Herald May 20th 2011

CALGARY — Be prepared to pay more for power and fuel this summer in Alberta, according to the latest price outlook by the National Energy Board.

Although gasoline prices have eased somewhat since jumping earlier in the month, oil prices averaging $100 US per barrel to $120 US per barrel over the summer likely will cause renewed pain at the pump, the board said Thursday.

Unrest in the Middle East, the crisis in Japan and China’s growing demand for energy all factored into the boards expectations of continued high prices for oil. READ MORE HERE

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Armed With White Stetsons, Calgary Invades China

Carolynne Wheeler: The Globe and Mail, May 27th, 2011

There will be an estimated 150 million outbound Chinese tourists by 2015. Alberta is hoping a few hundred thousand of them will be inspired to take a look at some of Canada’s natural wonders.

Armed with a new Mandarin-language tourism website and dozens of white Stetsons to give away to business leaders, Calgary’s largest-ever trade delegation has just landed in Beijing for a week of selling its city to a Chinese audience. GRAB THIS STORY

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I appreciate all your calls and emails. I'm looking forward to helping you with your next step towards building real wealth.

Your success continues EVERYDAY, let me help you build for tomorrow.

"The best place to find a helping hand is at the end of your own arm." -Swedish Proverb

Warm Regards,

Todd and Danielle Millar

===SPECIAL NOTICE: NO CASH, BUT GOOD CREDIT? CALL US TODAY TO LEARN HOW YOU CAN OWN INVESTMENT PROPERTY===

P.S. Stay ahead by checking out Danielle's daily blog at Edmonton Real Estate Investor for all your cutting edge market news and information.

P.P.S. Don’t forget to visit our website and take advantage of the Resource Tools and product section including REIN's #1 real estate books and Quick Start homestudy sets at a discount. Get your copy of the Canadian Success Stories book and the 2011 Top Ten Investment Towns of Alberta and Ontario.

In case you missed this video when it was aired earlier this year, we bring it back again. Don Campbell puts forth a solid argument for Edmonton and Calgary's real estate future.

If you are new to investing, you'll need to add several more lines of expenses to Don's example. Perhaps his 'miscellaneous' item covers some of these but in addition to your P.I.T. (principle, interest and tax payments) you'll need to add: vacancy factor, repair factor, property management (even if you do it yourself, factor it in as one day you might pass it over to a manager), advertising costs and insurance.

We also add bookkeeping costs, but you may feel you don't need that. These additions will give you a realistic cash flow number and it will be significantly less than the cash flow number derived from P.I.T./misc. alone in the BNN video. If you have money left over from repair/maintenance at the end of the month that goes into your account to build a buffer for the unit.

Watch Video Here

Bold Step Forward Starts with Future Fund - "During the latter part of the Klein years, the Alberta government was criticized as not having a vision for the province's economic future. In response, in 2009 Premier Ed Stelmach commissioned a council of prominent resident and non-resident Albertans to create a vision for sustained prosperity in a changing world.

Some of the report's recommendations, released this month, have been criticized, some are gathering support and many will play out in the coming months as no less than three Alberta political parties choose new leaders. But whatever you think about the report, it is important not to throw out the baby with the bathwater."

Imagine if this kind of plan became mandatory for a province? Every city, town and local government sat down together and made an action plan for the next 30 years. Sure, sometimes plans would change or the ideas may be off-track and need to be altered, but what a great idea! Instead of running to catch up with what happens to us; we begin to shape and attract what we want to see in the future. Read More Here

Inter-provincial Migration to Alberta Set to Pick Up - "This provides an incentive for Canadians to relocate to Alberta and, if history is any guide (see graph), net interprovincial migration to Alberta could as much as triple from 2010 levels over the next few years.

In addition to the favorable unemployment differential, wages and housing prices in Alberta are also supportive of higher net-migration to Alberta. Wages in Alberta are the highest in the country (by far) at over 15 per cent higher than the Canadian average. And, compared to the boom years, housing prices have cooled off in Alberta relative to other provinces, which makes relocating here more affordable."

Strong in-migration, higher wages and housing affordability all equal an increase in renters as well as renters-turn-to-home-buyers in the next 18-36 months. This is good for landlords in the Edmonton housing market. Click Here

Five Alberta MPs rewarded with spots in Harper's new cabinet - "University of Calgary political scientist David Stewart said cabinet's composition gives the province a strong voice at the decision-making table. "Albertans certainly are arguably in the two most powerful positions (in government)," Stewart said."

Although the new cabinet is on the large side (should make NDP pleased) the selection of Albertan MPs will give us a representative voice in Ottawa. Jump Here

Sad news from Northern Alberta - thousands of homes, business and public structures have been destroyed by raging wildfires. Over 7,000 residents have had to flee their homes.

Please go here to read the story and watch videos - HERE
To donate to these people who now relay on the kindness of others - RED CROSS DONATION

"A Canadian Red Cross team of volunteers are deploying immediately from Edmonton and will accompany more than 400 shelter cots and 800 hygiene kits and blankets. The Red Cross volunteer team will provide additional shelter support to the lead agency which is the Slave Lake Disaster Services once they have arrived. The Red Cross will work closely with Alberta Emergency Management Authority and other community partners to ensure that basics needs of the evacuees are met."

Alberta Oil Sands Investment Real Estate News®
Glenn Simon Inc., Suite 1217, 5328 Calgary Trail NW, Edmonton, Alberta, Canada. Tel 1-888-780-5940 Fax 1-888-276-4517
www.glennsimoninc.com email: info@glennsimoninc.com

May 14th., 2011
Volume 10, Issue 4

Dear Friends and Partners,

My opening newsletter for May was titled 'Winds Of Change' and they certainly blew through our nation and province; both figuratively and literally. Every riding but one in Alberta is Conservative. We will all benefit from a majority government for the next 4 years (hopefully) bringing continued economic growth and stability leading the country out of the recession.

Real Estate wise I have seen a unique little hot-spot develop in the area in which I live; house hunters are combing the sleepy tree-lined streets. The most sought after homes have character, are suited and nestle the green belt. Now I'll temper that comment with the buyers being very price sensitive - there is a narrow margin of what the market is saying these houses are worth and if you are priced over, your listing will stagnate. There are other hot-pockets (not like Jim Gaffigan's) around town, and plenty of flat ones too.

Another literal affect of the winds of change, was the wind we've had this week. I awoke on Friday morning to discover one of my trees had split in half and blown down on the freshly planted blueberry bushes. I marvel these forces. Be an act of force; be the change you want to see.

West Central Edmonton: Cashflowing Three-Plex In Prince Rupert

Turbo charge your portfolio. Upgraded 1931 built 4-plex with separate entrance to lower units. Beautifully finished 1280 sqft. 3 bedroom up, plus 2 upgraded 840 sqft. 1 bedroom suites down. The upper suites have laminate and fresh paint. There is a common laundry room for up and down suite, 1 per side. The lower units have had windows replaced as well. Lower suites walk out to a private grassy, fenced yard. There is a 2 car detached garage bringing in additional revenue. 10 minute walk to neighborhood park and fast access to Yellowhead Highway, NAIT, Grant MacEwan and bus routes. These pictures show the detail and care that went into building this quality home.

Comes complete with great tenants making this a totally turn-key property for you. Convenient West Central area with easy access to transit and downtown. Excellent neighborhood that demands high resale value and stable rents especially with the city airport' improvement project. HUGE upside potential due to the great purchase price, strong economic fundamentals and the proximity of this home in relation to Edmonton's developing core.

Produces $980 positive cash flow per month using an investor's mortgage plan - taking advantage of current low rates.

Purchase price: $525K Total Investment: $126K. Your Estimated 5 Year Profit $76K. Your pre-tax Total ROI is 60% or 12% per year + $980 Cash Flow in Your Pocket Every Month

“Get into action and realize secure, long-term profits”

Already producing a great RETURN. Visit for the full FEATURE sheet and call 1-888-780-5940 to get started.

-Please remember: All investments carry RISK. Be sure to seek your own independent legal advice-

Poised for massive growth. These 4 suites rent for top dollar and have everything arranged, including financing structure and incredible tenants. Your investment includes: renovation costs, financial analysis, professional inspection, insurance, financing set-up, legal fees, basic accounting, reserve fund, CMA, bi-annual statements, strategic market planning to ensure successful entry and exit, plus much more!

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U of A Eyes South Campus For High Tech Institute

By Keith Gerein, Edmonton Journal. May 7th 2011

The University of Alberta's president thinks her school's south campus would make an ideal home for an advanced technology institute, one of the major proposals touted by a government-appointed economic panel.

Indira Samarasekera said the site's abundance of undeveloped land, access to the LRT and proximity to the U of A's research centres make it a good spot to host an institution dedicated to commercializing discoveries. FOLLOW THIS ARTICLE

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Alberta Must Start Saving Oil Cash: Report

By Darcy Henton, Calgary Herald May 6th 2011

Alberta must stop using royalty revenues to fund day-today operations and start pumping all its energy dollars into a fund that will support hightech companies, economic diversification and targeted initiatives such as high-speed rail, says a report from a blueribbon economic panel.

Former federal Tory cabinet minister David Emerson, who chaired the 12-member Premier's Council for Economic Strategy, said the government has a decade to wean itself off the non-renewable resource revenues it now relies on for 30 per cent of its spending. READ MORE HERE
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Expansion Of Oil Sands Upgrader Goes On-Stream

Press release: By Shell Company, May 1st 2011
CALGARY, Alberta, May 4, 2011 -- /PRNewswire/ -- Shell today announced the successful start of production from its Scotford Upgrader Expansion project in Canada. The 100,000 barrels-per-day expansion takes upgrading capacity at Scotford to 255,000 barrels-per-day of heavy oil from the Athabasca Oil sands. "This start-up is an important milestone for our heavy oil business.' said Marvin Odum, Shell Upstream Americas Director. "And it adds new capacity from an important source of oil in a world requiring more secure energy." GRAB THIS STORY

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I appreciate all your calls and emails. I'm looking forward to helping you with your next step towards building real wealth.

Your success continues EVERYDAY, let me help you build for tomorrow.

"Courage is the discovery that you may not win, and trying when you know that you can lose." -Tom Krause

Warm Regards,

Todd and Danielle Millar

===SPECIAL NOTICE: NO CASH, BUT GOOD CREDIT? CALL US TODAY TO LEARN HOW YOU CAN OWN INVESTMENT PROPERTY===

P.S. Don’t forget to visit our website and take advantage of the Resource Tools and product section including REIN's #1 real estate books and Quick Start homestudy sets at a discount. Get your copy of the Canadian Success Stories book and the 2011 Top Ten Investment Towns of Alberta and Ontario.

A report on the challenges facing Alberta in the coming years is a blueprint on what we'll have to be, think and do to bring Alberta to the state of success she can be. Topics include pressing environmental issues, control program spending and curbing the province's reliance on energy royalties.

"It challenges Albertans to dream big, to look beyond the province's (and Canada's) borders, to think long-term, and to recognize how the rapid ascent of Asia and the decline of the U.S. will affect the province's future prospects." Read More

Politics and often the general mindset of folks is for today. People grumble about their daily jobs and rejoice during a boom; but many don't give much thought to the long-term. To think and live larger than our positions today, to plan and build for a BIG future is what is important. Breaking away from myopic ideas and talking, working and thinking bigger will lead to more ingenuity and a superior economy that is well balanced.

“It does make me quite nervous when someone talks about another wealth-transfer program,” “All that’s going to do is reduce competitiveness and diminish our economy. We’ll lose our momentum and may never get it back.” Premier Ed Stelmach on Jack Layton's comment on oilsands

Cleanup is always good - just not when you're cleaning up money from Alberta's pocket and putting it into yours. Respecting the Oil Sands and the industry that they create and the lifestyle that they give many folks is very important. Keeping the Oil Sands moving towards better and more innovative environmental practices - also a good thing. Not addressing your plan and using the phrases 'dirty oil' a bad thing.

I am certain that many U.S. American's are now temporarily feeling that some form of justice has been finally served by Osama Bin Laden's death. But that may only be a temporary feeling and illusion. Bin Laden is only one of many individuals that have opposed and that still do oppose what the USA represents.

An over celebration of this death may be transiently meaningful and socially unwise. That is like the irrational exuberance that occurred when Saddam Hussein's statue fell and when he was captured. Many illusively imagined that the war in Iraq was now over and another illusive villain finally gone. But this too was naïve.

It is wiser to now understand that there are probably many Osama Bin Laden-like individuals with alternative and even opposing human values and intentions that will most likely emerge and attempt to confront or counter attack the U.S.A. once again.

Any time two individuals, families, communities, cities, states or nations have dissimilar or opposing values; clashes, conflicts and wars can ensue. Until two individuals, nations or cultures understand their differences and find their hidden similarities and humble themselves enough to learn and appreciate each other's unique values; value and ideological clashes will be repeated historically.

I am grateful for the closure on the story of 9-11 for many of the families and people directly and indirectly involved during the 2001 and other terrorist's attacks, but I feel that we are wise to ultimately learn that similar and opposing values (like synonyms and antonyms in language) are what make up the world. Having temporary wins or defeats over or under our opponents in a world that is ultimately here to teach us how to love and appreciate ourselves and others, is missing the ultimate purpose of the variety amongst human value systems that make up the world as a whole.

As the Greek philosopher Heraclitus once emphasized there exist dynamic equilibriums of complementary opposites throughout the world. True love may be ultimately a synthesis and synchronicity of these various complementary opposites.

Alberta Industry cut 6.5M tonnes of Carbon emissions in 2010 -Do you remember a decade or longer ago when we captured almost zero green houses gas? There is so much more environmental control and cleanup being done now, it is a complete industry of its own. Does that mean that we shouldn’t expect green house gases to increase during growth periods? No. Does that mean that we shouldn’t continue to increase environmental stewardship and create newer and better ways to reduce gasses and improve the environment? No. We need to acknowledge the victories and continue the improvements; it might not be as fast as the snap of your fingers, but we are on the right path.

Edmonton house prices steady in March - Still a flat, but optimistic market; you can still ‘get a deal’ if you find a motivated seller. Folks with homes that don’t show well will get passed over or need to sell for lower as the competition for nice, clean homes is strong.

Harper says Western Canada can breathe easier with majority - B-R-E-A-T-H-E

It has been quite an exciting election this time around. If you look at the Canadian map of party support you can really see how diminished the Liberals/others were in this election. Equally amazing is how much of a win the NDP had. I hope that folks will agree to let the Conservative government with a majority win, do what they plan to do. Fair is fair and everyone got to vote. The NDP vote I think, should be pleased to see Jack Layton sitting across from Premier Harper in the HOC. It is a victory for them. And a victory for the Conservatives. Jump!

This is an article from the Irish Times reviewing a book by Richard Gills. Gill's theory is that Northern Rim countries and cities will do well (better than BRIC countries for example) over the next 25 years. There isn't a whole lot of depth in the article/review but the lat sentence puzzles me

"While a nationalist Canadian might find optimism here, the rest of us should be concerned. Nothing funny there."

Why do people write such nonsense? The review is about the economy opening up in these areas through new trade channels and cities growing. Hardly scary for anyone. The take away is that, yes, Canada is indeed well positioned if we stay on track with responsible energy and economic development. Read More Here