Mark Roberts, Senior Editor/Interviewer Traders News Source recently had an opportunity to interview International Land Alliance, Inc. (OTCQB: ILAL) President, Frank Ingrande.
Q. Mark Roberts, Senior Editor/Interviewer “We have challenging times for builders. Cost of material has sky rocketed, labor is challenging. How prepared is International Alliance to meet these specific challenges?”
(OTCQB: ILAL) President, Frank Ingrande “We have experienced those challenges in Mexico as well, delays and price increases across the board; however, on a much smaller scale. We prepare for any items associated with delays by simply ordering earlier in the construction schedule. The cost of residential construction has increased to $95 per square foot from $82 one year ago. While on a percentage basis this may seem significant, however $95 per square foot is still extremely inexpensive compared to the U.S.”
Q. Mark Roberts, Senior Editor/Interviewer “With interest rates expected to increase in the near term, how do you see this effecting your projects and projections?”
(OTCQB: ILAL) President, Frank Ingrande “Historically, sales at Rancho Costa Verde (a 25%-owned subsidiary) over the last 12 years, have not seen a significant impact whether there is an increase or decrease in rates. Interest rates are still relatively low; however, we expected an increase in interest rates, but we do not see this affecting our projected sales.”
Q. Mark Roberts, Senior Editor/Interviewer “With inflation starting to hit retirees’ pocketbooks, do you see this as a negative for International?”
(OTCQB: ILAL) President, Frank Ingrande “The motivation for buyers is the comparison to what they get in Mexico compared to what they get in the U.S. The dollar goes a lot further in Mexico and when global inflation rises, the dollar goes even further. Inflation can have a positive effect on sales, as many retirees are getting priced out of the market, like we are seeing right now in southern California. Retirees have to look for an alternative, which is what we offer and many times with a significant uptick in lifestyle. ILA offers affordable luxury housing!”
Q. Mark Roberts, Senior Editor/Interviewer “Could you give us insight on your approach for your Tecate project and others on making sure water availability is not an issue for the foreseeable future?”
(OTCQB: ILAL) President, Frank Ingrande “While the wine country in Baja California, known as the Guadalupe Valley, has experienced water issues, we do not have any issues at any of our developments. In fact, our desert communities, Rancho Costa Verde and Oasis Park Resort have abundant water supplies available. There are 30-year studies showing the adjacent aquafer/mountain range are more than sufficient for current and future needs. This is included in our environmental studies and subdivision permits from the county and state.”
Q. Mark Roberts, Senior Editor/Interviewer “Can you give us an update on a very exciting project, oasis park resort?”
(OTCQB: ILAL) President, Frank Ingrande “In Q3 2021 we completed a private placement with a single institutional investor for gross proceeds of $2.0 million. The majority of net proceeds went into construction across all of our projects as well as sales and marketing.”
“Oasis Park Resort is an ecotourism, green community with 180° sea and mountain views from every home site. It is comprised of 497 acres in San Felipe, Baja California on the Sea of Cortez. We have
1,344 residential and commercial lots. We recently restarted construction with the completion of the 2-mile access road to the water and the community entrance and we started construction on waterfront clubhouse and model homes. We expect rising property values with completion of the first section of the expansion of the Coastal Highway, which is nearing completion and will allow for a 2-hour drive from the U.S.”
Q. Mark Roberts, Senior Editor/Interviewer “How are you coming along on your projects, Rancho Costa Verde, Emerald Grove Estate, Plaza Bajamar and Valle Divino. Please give us an update on sales and when you plan on finalizing key projects?”
(OTCQB: ILAL) President, Frank Ingrande “In addition to Oasis Park Resort, we are expanding additional infrastructure for all projects, model homes, engineering, roads, and amenities.
Just north of Oasis Park Resort is Rancho Costa Verde a 1,100-acre master planned second home, retirement home, and vacation home real estate community located on the east coast of Baja California, Mexico. We offer 1/4-acre home sites starting as low as $22,500 and custom home construction from $82 per square foot, south of the small fishing village of San Felipe which is home to over 6,000 retired US citizens. It is a self-sustained solar powered green community with a boutique hotel that takes advantage of the advances in solar and other green technology. It is a beachfront location with close proximity to the mountains and natural topography at Rancho Costa Verde has created breathtaking 180-degree sea and mountain views from almost every home. Almost 1,000 residential lots sold to date and 70 homes completed or under construction.”
“Our Emerald Grove Estates property consists of 80 Acres of developable land with an 8,000 Sq. Ft. event venue with 360-degree views. It has 5,000 citrus trees, 20 acres of planned vineyards. It is located 8 Minutes from the world-famous Temecula Wine Country. ILA originally purchased the four 20-acre parcels for $1.1M. We sold 1 parcel for $630K and have a planned subdivision of 2 parcels (40 acres) into 8 residential lots.”
“Plaza Bajamar is one acre located within the gated master planned golf community of Bajamar Ocean Front Hotel and Golf Resort. There will be 2BR two-story units, 80 in total with fairway and ocean views from rooftop terrace. The model home has been completed and site preparation is ready for the remaining 21 villas in Phase I. The golf course is referred to as the Pebble Beach of Mexico.
Starting prices at $199K.”
“Valle Divino Part is of master planned residential community with 1,250 acres of fantastic topography, supporting resort and residential facilities with views toward the mountains and sea. With an existing 20 acres in Ensenada, Baja California we will have 208 residential & commercial lots. The Clubhouse, wine tasting room, and 2-acre vineyard have been completed. Construction started on 2 model homes with prices starting at $99K.”
Q. Mark Roberts, Senior Editor/Interviewer “In closing, could you please address your current and potential shareholders on why International decided to focus their portfolio in the Baja California peninsula and where else you see ILAL investing in the coming year(s)?”
(OTCQB: ILAL) President, Frank Ingrande “The real estate market in Northern Baja California is the healthiest I have seen it since I began working in the region in 2001,” said Frank Ingrande, President of ILA. “With housing prices continuing to rise in the Southwest U.S., and inventory remaining severely low, many seeking second homes or vacation homes are finding our luxury developments to have a very attractive value proposition. ILA’s development strategy is based on consumer preferences, and Rancho Costa Verde’s 1,100-acre low density development is resonating strongly with potential owners seeking a safe and spacious alternative to the U.S. market.”
“During the pandemic, when we had travel restrictions in place, our sales team made the strategic move to reduce some sales initiatives. With our recent ramp up in sales and marketing efforts, we have experienced a significant increase in demand. As a result of this increased demand, we have implemented renewed sales and marketing strategies across the ILA portfolio of properties and expect to see increasing interest in the coming months.”
Mark Roberts, Thank you for your time Frank.
President, Frank Ingrande “Thank you for having me”
For more information on ILAL see their investor presentation here: C:\Users\Owner\Downloads\ILAL Presentation – March 2022.pdf
Or see International Land Alliance Video: https://www.youtube.com/watch?v=XWXu-VM5xjk
The Traders News Group