New York, NY -- March 8, 2018 -- InvestorsHub NewsWire --
Metrospaces, Inc. (OTC PINK: MSPC) issues Letter to Shareholders to
update on current events and progress.
LETTER TO OUR SHAREHOLDERS
To Metrospaces Inc. Shareholders:
As we continue to push forward in our business plan, we begin to
see turning points that are allowing the company to consider new
options in the expansion of our current execution as well as the
possibility of opening up new business avenues. Every month
we see the revenue growth in Etelix, we become more confident in
our acquisition and that the business plan we have chosen and
executed on, makes sense. January was a record revenue month
(of all previous months of January), and although we are still
finalizing revenue numbers for February, it looks like it will also
be record revenue for any February since the company started doing
business in 2007. Etelix’s Management team continues to prove
they are top-tier in their industry, and as they consolidate, more
options continue to open up for management, not just in their
current VoIP and data center management, but also in businesses
they know well such as submarine cables, as well as blockchain for
Telcos. Additionally, as Etelix continues to gain firm
footing, Metrospaces management is now able to explore new avenues,
including acquisitions and add-on investments, not just for Etelix,
but brand new ideas that are currently being considered.
Residential and hotel real estate in the US is very profitable
industries, however, we believe that as a start-up real estate
private equity firm, we must focus on emerging real estate
industries such as Telco data centers and cannabis related-real
estate investment that can produce above-average real estate
investment returns. That is where we believe we will
make our mark. We will always look to be at the
forefront of emerging real estate segments, always building upon
proven and experienced management teams. We believe Etelix to
be a true example of how our business plan will evolve in the
near-mid and long term of the company.
Etelix USA.com: Etelix has proven to
be in in the right position to continue to grow revenue and EBITDA,
by simply hitting their easy marks. January was another
record revenue month, and February looks like another record month
as well. Management is pushing itself not just to continue to
grow its VoIP value-added and data center management business, but
to also focus on other business services that they proved in the
past to be successful in. Etelix’s management team are
world-class Telco executives that know the business quite well,
know the different growth spots to focus on. In 2013, the
company was part of a consortium of major carriers that deployed
the Maya-1 submarine cable that runs from Hollywood, Florida to the
city of Tolu in Colombia. This consortium was led by Orange
Telecom and Orbitel where Etelix participated with a 10 Gpbs
capacity. The bulk of this contract was sold to Millicom
(Tigo Costa Rica) for a 3X cash-on-cash profit within 6 months of
installation. However, it still produces
approximately $80,000 in annual residual revenue. This
capacity considerably enhanced Tigo's ability to deploy world-class
4G services to its customers in Costa Rica. Based on this know-how
and the current explosion in 5G infrastructure multiplied by the
“Internet of Things”, Etelix has begun advanced conversations with
several European-based major Telcos to either be a part of current
consortiums being assembled or to head a new consortium for this
purpose.
Real Estate Projects in the US: The
Company has signed LOI’s to acquire 2 luxury residential projects
in Brooklyn, NY. One of the projects is located in the
high-end neighborhood of Williamsburg in Brooklyn and consists of a
new construction residential building of 7 units with a total
projected sell out of $12M. The other site is located near
Prospect Park and consists of a luxury 22-unit residential project
with total potential sell out of $38M. Both projects have
operating margins of over 40%, potentially. Brooklyn is
currently considered to be one of the nation’s strongest housing
markets and is expected to continue its growth through the coming
years. The company will make announcements once
acquisitions have been finalized.
Cannabis Commercial Real Estate
Projects: Metrospaces has engaged the services
of specialized cannabis real estate brokers to search for new
cannabis-related real estate opportunities in California and
Washington St. In this sense, we have also incorporated Cann
Partners as a subsidiary to handle these investments and
acquisitions. Additionally, we are exploring the acquisition
of cannabis-related companies that can bring us access to top-tier
management in the industry to build upon. We will keep
shareholders informed as progress is made in this industry.
Ikal Lodge and Winery: Our Ikal Lodge and Wine
business continues to be a stable source of cash flow. The
months of March and April are our harvesting months when we collect
our wholesale wine grapes that we will be selling to major wine
producers as we have in the years past. 2018 revenue and
EBITDA will likely be $350,000 and $130,000 respectively. We
also expect to see significant sales from last year’s Premium wine
collection launched in 3Q of 2017. This year we
launched our premium wine brand, Premium Ikal. Premium Ikal
will start selling in the US first quarter of 2018, as have already
begun shipments to Houston. We bottled 20,000 units of this
new premium wine in the middle of 2017. Ikal Lodge and Winery
is a 75-hectare wine based hotel and vacation home project, located
in Mendoza, Argentina. The amazing project consists of a 25-master
suite luxury hotel, a world-class winery and 29 luxury villas that
will be sold under fractional ownership. March began the annual
wine grape harvesting season; as we have done in the past 3 years,
we sold our entire wine harvest to our long-lasting clients Pernod
Ricard and Los Haroldos. This year, our focus has been on
turning around our business plan away from the Venezuelan operation
to US-based businesses and real estate projects. However, we
expect 1Q of 2018 to refocus a good part of our effort in launching
this amazing business. Once the real estate project is
complete, total revenue from the sale of the villas is expected to
be at approximately $70-90 million, with and EBITDA of about 45%.
For more information, please see: www.ikal1150.com.
Financial Reporting Status: We have
received numerous shareholders’ requests to become current since
our current status of “non-reporting” is making it difficult for
them to make further investments in the company. We
understand the urgency shareholders have in this sense, and we have
listened. Based on this urgent situation so clearly expressed by
numerous shareholders, we have recognized the need to take
immediate action in this sense. Accordingly, we have made the
decision to become alternative reporting under the OTC Market rules
as soon as possible. This will allow us to remove the “Stop”
sign from the OTC Market quoting system. Shareholders will
notice action in this sense in the coming few days, and management
has set itself the goal to complete all required filings with the
OTC Markets to become “Current Information” within 10 business day,
and thus have the “Stop” sign removed.
Other investment highlights:
JV Agreement with Proideas
(http://proideas.com.ar/): This
JV agreement will allow Metrospaces a partnership with a very
prominent private equity group in Argentina, just as the country
begins a new economic shift to a more pro-market environment.
This partnership will bring not just new deal flow to the company,
but more importantly will also bring in fresh financing for the
company’s current projects.
JV Agreement with Prohotels of Argentina: In
its refocusing of the company's business plan to hotel development,
Metrospaces has executed a JV Agreement with Prohotels
(http://www.prohotels.com/). This partnership gears itself
perfectly with the company's development and financing skills. This
agreement calls for the development of 4 new hotels in the coming 3
years. It is a testament to our business plan execution.
Again, we want to thank all our new shareholders for taking an
interest in our story and have given us the chance to be where we
are! We will continue to work very hard to make your investment in
our company a success, and have very high expectations for 2017 and
beyond!
About Metrospaces:
Metrospaces www.metrospaces.net is a publicly traded
real estate investment and Development Company which acquires land,
designs builds, and develops then resells condominiums and Luxury
High-End Hotels, principally in Argentina and the US. Additionally,
the company investments alongside management, in operating
companies with strong real estate components.
In 2012, Metrospaces shareholders saw a unique opportunity to
participate in several exciting property markets around the world.
Through their worldwide network of highly recognized real estate
entrepreneurs, the company was able to capitalize on unique real
estate development opportunities. Since inception, the company has
leveraged those relationships along with extensive financial
expertise and transformed excellence by results.
Metrospaces is a boutique real estate
development company, a product of the alliance of Metrospace
shareholders, along with an elite group of real estate
professionals and entrepreneurs located around the world. Company
shareholders have extensive careers in real estate financing
worldwide and have funded projects both in the Americas and across
Europe valued in excess of US $550 Million.
Metrospaces' majority shareholders have partnered with Investors
on Elite properties including The London BLVGARI 5 Star Hotel, and
are currently involved in negotiations for the development of
several Elite luxury properties in South America.
Among Metrospace partners are Architects, Real Estate
Developers, Agents and Attorneys of the highest standing, with
extensive experience in the global property market.
Metrospaces was originally founded by
company President Oscar Brito.
Relevant Links:
http://metrospaces.net/
http://www.prohotels.com/
http://www.ikal1150.com
Safe Harbor Statement: Statements in this
news release may be "forward-looking statements". Forward-looking
statements include, but are not limited to, statements that express
our intentions, beliefs, expectations, strategies, predictions or
any other statements relating to our future activities or other
future events or conditions. These statements are based on current
expectations, estimates and projections about our business based,
in part, on assumptions made by management. These statements are
not guarantees of future performance and involve risks,
uncertainties and assumptions that are difficult to predict.
Therefore, actual outcomes and results may and are likely to,
differ materially from what is expressed or forecasted in
forward-looking statements due to numerous factors. Any
forward-looking statements speak only as of the date of this news
release and Metrospaces Inc. undertakes no obligation to update any
forward-looking statement to reflect events or circumstances after
the date of this news release.
Metrospaces Inc. 305-600-0407 Investor Relations: investors@metrospaces.net www.metrospaces.net