CAPITAL PROTECTED
INVESTMENT
Projected Annualized IRR
in Excess of 96%
Strictly Private & Confidential
International Home ...
 With a total population of 35 million (approximately 48% females and 52% males), almost 46%
of the total population is u...
 A new city, 12 miles northeast of Downtown
Kabul; to accommodate >3 million people – 1.5
times larger than existing Kabu...
The Project’s Site
A Capital Protected Investment Opportunity
The investment amount in the project will be fully insured by Multilateral Inve...
PROJECTED INTERNAL RATE OF RETURN (IRR)
OVERALL PROJECT: 135% PER ANNUM
ANTICIPATED FOR ALL OF THE PROJECT
THROUGHOUT THE ...
Land Acquisition
Land Investment of $ 54 million
 Govt. acquires the land and provides to
IHFD at cost + a nominal fee
 ...
Strategic Partners / The Team
Project
management
Design
Financial
Governance
Corporate / Shareholder Structure
IHFD Limited
(Cayman Islands)
Promoters Group
{50%}
Potential
Investor(s)
{50%}
IHFD, LL...
Placement Objectives
Provide the Company enhanced financial resources in order to achieve its
business plan;
Enable the ...
Residential Units & Commercial Space
Particulars Year 1 Year 2 Year 3 Year 4 Year 5 Total
Residential Units 1,548 1,700 3,...
Investors’ Returns
Details Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
Revenue 0 98 251 1,040 996 2,512
Gross Margin (6) 10 ...
Conclusion
An Unique Investment Opportunity which is PROTECTED by MIGA against Sovereign and
Political Risks
Significant...
Contact:
Rafaat Ludin, President & CEO Sultan Maqsood Fazel, CEO Afghanistan
3055 Roslyn Street, Suite 207, Darul Amman Ro...
Existing Real Estate Pricing in Kabul – IHFD Pricing: Ca. 60%
Location
Price of 2 Room
Apartment (in US$)
Size (m2)
Price ...
Existing Real Estate Pricing in Kabul – IHFD Pricing: ca. 60%
Location
Price of the House
(in US$)
Size of the
Plot
Size o...
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E presentation - new kabul city project short - expooilgas

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E presentation - new kabul city project short - expooilgas

  1. 1. CAPITAL PROTECTED INVESTMENT Projected Annualized IRR in Excess of 96% Strictly Private & Confidential International Home Finance & Development, LLC
  2. 2.  With a total population of 35 million (approximately 48% females and 52% males), almost 46% of the total population is under 15 years of age and 68% below the age of 30 years, therefore, indicating a great potential and demand for housing  A relatively “virgin” real estate market across Afghanistan (shortage of over 1 million housing units), especially within Kabul, which has witnessed the highest level of shortage (with a requirement of over 300,000 housing units to house more than 3 million people in Kabul) in the accommodation availability  More than 70% of the housing units in Kabul consist of informal housing, without any infrastructure, such as, roads / streets, sewage, water supply, electricity, etc. The Government plans to relocate the population to better planned housing with adequate infrastructure and services within Kabul New City Development Economy, Demographics & Real Estate Afghanistan has witnessed improved economic performance since 2002 with double digit growth year after year
  3. 3.  A new city, 12 miles northeast of Downtown Kabul; to accommodate >3 million people – 1.5 times larger than existing Kabul; 742 km2 area  Budgeted investments: > US$ 80 Billion  Commercial Hub of the New Greater Kabul  Promoter: DCDA (Dehsabz-Barikab City Development Authority)  Governed by an independent Board  Expected to be converted to a Corporation in the next few months  Headed and managed by honest, competent and professional people About Kabul New City  13,000 housing units to aommodate up to 70,000 people and >3.3 million m2 of commercial space.  Area under contract is 838 Hectares. 450 hectares to be developed by IHFD. Remainder is non-revenue generating land e.g. Parks, public facilities, etc. financed by DCDA.  DCDA will provide primary infrastructure, IHFD will build secondary and tertiary infrastructure IHFD Project
  4. 4. The Project’s Site
  5. 5. A Capital Protected Investment Opportunity The investment amount in the project will be fully insured by Multilateral Investment Guarantee Agency (“MIGA”). MIGA is a member of the World Bank Group and provides political risk insurance and provides comprehensive political risk insurance and helps investors to focus on commercial aspects of their investments by shifting the non- commercial risks to MIGA. The present investment offers coverage of up to USD 200M so that both the initial investment and any undistributed profits can be recovered. MIGA covers the following risks: - Currency transfer restrictions and inconvertibility - War and civil disturbance, including sabotage / terrorism and business interruption - Expropriation, including creeping expropriation - Breach of contract, for example, breach of an undertaking / commitment made by the host government (being the Government of Afghanistan), and; - Non-Honoring of Sovereign Financial Obligations, if any, and as agreed. A Capital Protected Investment by World Bank
  6. 6. PROJECTED INTERNAL RATE OF RETURN (IRR) OVERALL PROJECT: 135% PER ANNUM ANTICIPATED FOR ALL OF THE PROJECT THROUGHOUT THE INVESTMENT PERIOD OF PROJECTIONS - Low material cost, low labor cost leads to low cost of construction - Due to huge demand and inadequate supply resulting in 300,000 unit shortage in today’s Kabul, prices of real estate are very high. - Additional cost savings due to use of lower cost and more efficient construction material A Highly Profitable Investment Opportunity Overall Project 50% shareholding with $50 million investment PROJECTED INTERNAL RATE OF RETURN (IRR) FOR INVESTORS: 96% PER ANNUM THROUGHOUT THE INVESTMENT PERIOD OF PROJECTIONS (5 Years) - Investors paid out equity from project cash- flows within 2-3 years with 8% interest rate per annum. - Preferred shares with equivalent voting rights. - Exit strategy at the end of the financial projections,
  7. 7. Land Acquisition Land Investment of $ 54 million  Govt. acquires the land and provides to IHFD at cost + a nominal fee  Contract with the Govt. allows IHFD to directly agree with various land owners (on partnership or direct purchase basis) to acquire the land as well.  Consortium of Landowners are part of promoters group.  250 Ha out of needed 450 Ha already acquired.  Balance being acquired. No upfront cost implications for investors for all of the required land. Donor Contribution of $97 million  JICA, Japan - US$ 77 million for Parcel 1 (IHFD’s Site) for the Construction Roads Network, water, sewer and other primary infrastructure  ADB (Asian development Bank) - US$ 20 million for the provision of power for Phase 1  Other commitments by IDB, ADB and other donors for all of KNC Donor Contribution
  8. 8. Strategic Partners / The Team Project management Design Financial Governance
  9. 9. Corporate / Shareholder Structure IHFD Limited (Cayman Islands) Promoters Group {50%} Potential Investor(s) {50%} IHFD, LLC (USA) IHFD, LLC (Afghanistan) Kabul New City Development
  10. 10. Placement Objectives Provide the Company enhanced financial resources in order to achieve its business plan; Enable the Company to enhance its market share in real estate sector by fulfilling the huge demand for quality real estate developments in Afghanistan; and Enhance performance of the Company through the introduction of professional expertise and relationships from new Shareholders. In accordance with the Business Plan developed by the Promoters of the Company, the proceeds of this Offering will be used as per the breakdown mentioned in the above Table Details US$ ‘000’ Cost of development 29,543 General & administrative expense 8,729 Direct sales & marketing expense 3,562 Other expenses 7,500 Fixed assets 666 Total Initial Capital Deployed 50,000
  11. 11. Residential Units & Commercial Space Particulars Year 1 Year 2 Year 3 Year 4 Year 5 Total Residential Units 1,548 1,700 3,441 5,040 1,552 13,281 Shops 350 0 650 1,780 970 3,750 Commercial Space: Local Commercial 32 171 104 108 0 415 Central Commercial 1,663 1,663 District Commercial 725 347 126 1,197 Total Commercial 32 171 829 455 1,789 3,275 (Commercial Space in “000” Square Meters)
  12. 12. Investors’ Returns Details Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Revenue 0 98 251 1,040 996 2,512 Gross Margin (6) 10 29 474 363 1,262 EBITDA (10) 0 16 442 330 1,196 Net Profit After Tax (13) (5) 9 350 260 953 Dividend Paid 0 0 7 262 260 953
  13. 13. Conclusion An Unique Investment Opportunity which is PROTECTED by MIGA against Sovereign and Political Risks Significantly Higher than the Average Returns under a Well-Calculated Risk Concentration High Impact Project, Mainly to Address the Government’s Housing Initiative within Kabul Environment-Friendly Project with respect to the Development Techniques and Solutions to be Deployed Socially and Culturally Valuable Project Developed by an Experienced Team which includes Fortune-500 Company
  14. 14. Contact: Rafaat Ludin, President & CEO Sultan Maqsood Fazel, CEO Afghanistan 3055 Roslyn Street, Suite 207, Darul Amman Road, Kabul, Afghanistan Denver, CO 80238, USA Phone: +93-700-292-363 / +93-78-888-8042 Phone: +1-303-643-5850, ext 201 E-Mail: smfazel@ihfdllc.com Fax: +1-303-643-5853 E-mail: rludin@ihfdllc.com Web: www.ihfd.com H&J Corporate Services (Cayman) Ltd Jamil Qureshi, Managing Director GCG 5th Floor, Anderson Square, GulfCap Group, Shedden Road, P.O. Box 866, Aspect Tower, Business Bay, Dubai, UAE George Town, Grand Cayman KY1-1103, Phone: +971-55-2000-184 Cayman Islands E-Mail: jq@GulfCapGroup.com
  15. 15. Existing Real Estate Pricing in Kabul – IHFD Pricing: Ca. 60% Location Price of 2 Room Apartment (in US$) Size (m2) Price of 3 Room Apartment (in US$) Size (m2) Price of 4 Room Apartment (in US$) Size (m2) Remarks Wazir Akbar Khan $150,000 - $170,000 60m2 $230,000 - $260,000 75m2 $270,000 - $320,000 95m2 Old apartments Shar-e-Now $110,000 - $140,000 65m2 $1900,000 - $250,000 80m2 $270,000 - $300,000 110m2 New apartments. Mainly in the main streets Shar-e-Now $153,000.00 85m2 $180,000 100m2 $252,000 140m2 This is Onyx plaza in Shar-e-Now. Price per square meter is $1,920 Karte Char $70,000 - $75,000 65 - 70m2 $85,000 - $100,000 80 - 90m2 $120,000 - $150,000 95 - 120m2 New apartments. Mainly in the main streets Karte Say/Karte Char $132,000.00 80m2 $156,000 95m2 $222,750 135m2 This is Onyx plaza in Demazang area. Price per square meter is $1,650 Khair Khana $65,000 - $75,000 68m2 $85,000 - $105,000 75m2 $105,000 - $135,000 100m2 New apartments. Apartments in sub-streets are upto 20% cheaper. They are in the main streets Karte Now $65,000 - $75,000 80m2 $120,000 - $130,000 110m2 $140,000 - $190,000 160m2 New apartments Qasaba $40,000.00 63m2 $53,000 83m2 $66,000 103m2 Government scheme - this is not the Abu Dhabi Fund project. This is Khawaja Rash Blocks Taymanee $70,000 - $80,000 70m2 $90,000 - $115,000 80m2 $135,000 - $185,000 110m2 New apartments. Main and sub-streets Kot-e-Sangi $70,000 - $75,000 70m2 $90,000 - $100,000 80m2 $110,000 - $135,000 110m2 New apartments (3 - 6 years old). Micro Rayan $65,000 - $75,000 65m2 $80,000 - $100,000 78m2 $130,000 - $160,000 87m2 Old apartments Shahrak-e-Arya $75,000 - 80,000 70m2 - 75m2 $105,000 85m2 $120,000 - $140,000 95 - 120m2 New apartments Karte Parwan $50,000 - $60,000 60 - 65m2 $65,000 - $70,000 75 - 85m2 $85,000 - $100,000 90 - 110m2 New apartments. Main and sub-streets Khushal Khan $70,000 - $72,000 70m2 $85,000 - $95,000 80m2 $11,000 - $125,000 110m2 New apartments (2 - 5 years old). Arzan Qimat - Shahrak Saleem Karwan $110,000 165m2 New apartments. They only have 4 rooms apartments and are with good quality Apartments
  16. 16. Existing Real Estate Pricing in Kabul – IHFD Pricing: ca. 60% Location Price of the House (in US$) Size of the Plot Size of the House (square meters) Number of Rooms Approximately When built Remarks Wazir Akbar Khan $700,000 - $800,000 500m2 200m2 8 more than 30 years $140,000/piswa with house and $115,000/piswa without a house. The prices differs in each street btw $20,000 to $25,000 per Piswa. Also there are some house which are more than 500m2 and the prices are much higher Shar-e-Now $800,000 - $850,000 600m2 250 - 300m2 8 Old and New The prices of houses also differs in each location of Shar-e-Now btw $20,000 - $30,000 per Piswa. Its means that if the price of a house is $850,000 in one location with 500 - 700m2, the same size price may be more than $900,000 in other location Karte Char $260,000.00 400m2 200m2 6 Old Construction Karte Char and Karte Say prices almost are the same Karte Char/Karte Say $280,000.00 350m2 220m2 6 Old Construction Karte char $420,000.00 500m2 250m2 12 New Construction Karte Char/Karte Say $600,000.00 1000m2 400m2 10 Old Construction Khair Khana $300,000.00 350m2 200m2 10 New Construction Khair Khana $180,000.00 300m2 150m2 5 Old Construction Karte Now $250,000.00 300m2 200m2 8 New Construction Qasaba $120,000.00 300 m2 200m2 5 New Construction These houses are medium construction quality Taymanee $300,000.00 500m2 250m2 6 Old Construction Taymanee $1,000,000.00 2000m2 400m2 10 Old Construction Kot-e-Sangi $250,000.00 500m2 250m2 5 Old Construction Micro Rayan N/A There is no single family house in this Shahrak Shahrak-e-Arya N/A There is no single family house in Macrorayan Khushal Khan $225,000 500m2 300m2 6 New Construction Shahrak-e-Karwan Saleem in Arzan Qimat $250,000.00 300m2 200m2 9 New Construction Single Family Homes

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