Westboro Management Ltd. (“WML”) is the general partner of Westboro LP, of which WMIC is the majority limited partner. As general partner, WML receives distributions from Westboro LP, which reduces returns to investors.
WMIC is a related issuer of WML by virtue of their common controlling shareholder. Velos Capital Corp. exercises control over the voting shares of both WMIC and WML. WMIC is a connected issuer of WML by virtue of WML’s role in acting as general partner of Westboro LP and its receipt of general partnership distributions as a result thereof. WMIC is also a connected issuer by virtue of common directors and officers.
Self-directed RRSPs or RRIFs are eligible to hold units in Westboro Mortgage Investment Trust.
Westboro MIT has partnered with various trust companies to facilitate an investment in Westboro MIT. An account must be opened with the trust companies and the transfer forms completed, in order to transfer $50,000 or more from your existing plan holder (less if you are an existing investor).
To transfer RRSP’s to the appropriate trust company from your existing plan holder, please contact us.
Once the transfer is completed, you will subscribe to Westboro MIT and your monthly distributions are sent to the trust company and your RRSP/RRIF respectively.
Unlike most other MIC’s, Westboro MIC returns all forms of income to its investors including:
- All Mortgage Interest Income
- Origination Fees
- Renewal Fees
- Discharge Fees
- NSF Fees
Westboro MIC uses its large network of licensed brokers/agents to continually fund mortgages within its lending area. Our qualified Underwriters screen applications and only approve mortgages that meet the funds’ criteria as approved by management. Generally speaking, these applications range from individuals or corporations with an immediate need for mortgage financing, however, for many different reasons, they do not qualify with the bank at this time. Examples are as follows:
- A business has the opportunity to purchase a property, however, the bank was unable to process their required loan quickly enough;
- Credit cards are fully extended: credit has been damaged due to sickness, marital break up or being out of work. Client is now back to work, healthy/happy and has the income stream to service the mortgage;
- Payments on credit cards have been delinquent due to various reasons. In all of the aforementioned situations, Westboro MIC works with clients and brokers/agents to guide and help them return to the traditional lending market.
Although real estate investing is considered one of the safest investments, risks still exist in mortgage lending. All property investments are subject to elements of risk. Property value is affected by general economic conditions, local real estate markets, the attractiveness of the property to tenants, competition from other available properties and other factors. While independent appraisals are required before the corporation may make any mortgage investment, the appraised values provided therein, even where reported on an “as is” basis, are not necessarily always reflective of the market value of the underlying property, which may fluctuate.
The MIC’s income and funds available for distribution to security holders would be adversely affected if a significant number of borrowers were unable to pay their obligations. Upon default by a borrower, Westboro MIC may experience delays in enforcing its rights as a lender and could incur costs in protecting its investment.
To mitigate these risks, the experienced team of Underwriters at Westboro MIC carefully review every application to reduce the possibility of non-performing loans. Furthermore, strict loan to value guidelines ensure enough equity is available to recover outstanding loan balances in case of foreclosure.
Investors are able to redeem all or a portion of their shares upon 30 days notice subject to the rules set out in the Subscription Agreement / Corporate Articles. Redemptions are processed once a month at month end.
Westboro Management Ltd. (“WML”) is the general partner of Westboro LP, of which WMIC is the majority limited partner. As general partner, WML receives distributions from Westboro LP, equal to 1/12th of 2.00% of the total consolidated assets of Westboro LP, as recorded in the month end unaudited, internally prepared management consolidated financial statements of Westboro LP. The special limited partner of Westboro MIC can earn a distribution of up to 1.00% of the consolidated assets of Westboro LP as confirmed by the Year End Audited Statements if the investors have received a return equal to the Bank of Montreal 5 year GIC rate, plus 4%. Westboro MIC is responsible for interest, legal, accounting and investor relation costs.
Investors receive audited financial statements within 90 days of each financial year-end, which is December 31st. A six month report is also provided each September.
No broker or referral fees are charged by Westboro MIC and 100% of your investment goes directly to the Westboro MIC fund.
The MIC focuses on residential mortgage loans primarily in Eastern and Southern Ontario with a focus on the Ottawa Valley and surrounding urban centres. Commercial loans are also included in the portfolio where beneficial to the MIC. The majority of mortgage receivables are comprised of 1st mortgages with the balance being made up of 2nd mortgages. Almost all mortgages in the MIC have a one or two year term and are renewable at the borrower’s discretion. The MIC usually earns 3 months interest penalties on mortgages paid out before the end of the term.
It’s easy. Call or email today to discuss how you can invest: email@example.com or 613-729-5764. Westboro Fund is temporarily open for new capital investments.
Investing in a MIC is not for everyone. Your current net worth, income needs, and risk tolerances are just a few of the many factors to determine if this is the right type of investment for you. We would be happy to sit down with you to discuss your potential investment.
- Real Estate Security: Mortgages purchased by the MIC are secured by Canadian Real Estate.
- RRSP / RRIF Eligible: Hold your Westboro MIC investment in a self-directed RRSP, RRIF, or TFSA.
- Professional Management: The Principals of Westboro MIC have a combined 60 years of mortgage & investment experience.
- Diversification: Investors own a diversified portfolio of mortgage loans.
- Regular Income: Investors receive their dividends on a monthly basis.