Toronto, Ontario--(Newsfile Corp. - October 11, 2017) - Gunpowder Capital Corp. (CSE: GPC) (CSE: GPC.PR.A) (OTCQB: GNPWF) (FSE: YS6N) ("Gunpowder" or the "Corporation") announced today that its wholly owned subsidiary GP Realty Inc., has purchased, 633 Marentette Ave, a 16 unit lodging house located in Windsor, Ontario.
Total purchase price of the property was Three Hundred Thousand Dollars ("$300,000.00") CDN. The purchase price was financed through a Two Hundred and Ten Thousand Dollars ("$210,000.00") CDN first mortgage financing on the property with a credit union. The mortgage has a term of 5 years and bears interest at a fixed rate of 4.55%. The remainder was financed through GPC's cash resources.
This property is estimated to generate a 30% cash on cash return based on 75% occupancy.
Gunpowder is also pleased to announce that it has hired its own full time property manager and now internalized the property management function. We believe that by internalizing the property management function we will be able to reduce our operating costs significantly and achieve a better return on our investment.
About Gunpowder Capital Corp.
Gunpowder Capital Corp., is a merchant bank and advisory services firm based in Toronto, Ontario, Canada. Gunpowder invests in both publicly traded and private businesses that have successful management teams and attractive economic models. Gunpowder partners with these businesses to support their growth initiatives with its proven methodology of appropriate financing and structured exits. Gunpowder offers debt financing, including mezzanine and bridge loans, equity financing and advisory services. Gunpowder is also building a portfolio of companies in which it takes a long term position and view. For more information please visit www.gunpowdercapitalcorp.com.
For further information please contact:
Mr. Frank Kordy
CEO & Director
Gunpowder Capital Corp.
T: (647) 466-4037
Mr. Paul Haber
Gunpowder Capital Corp.
T: (416) 363-3833
Information set forth in this news release may involve forward-looking statements under applicable securities laws. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such. Neither CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
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