UCASU projects profit growth despite looming economic recession concerns

Rhea-AI Summary

UC Asset (OTCQX: UCASU) has expressed optimism about significant profit growth despite potential recession forecasts. Founder Larry Wu emphasizes a shift from conventional real estate strategies to innovative portfolio management, targeting cannabis and trendy properties. The company exited most residential investments and entered the cannabis sector, projecting annual returns of 18%-20%. With a strong cash position and plans to raise $10-$30 million via a secondary public offering, UC Asset aims to uplist to NYSE American or NASDAQ by mid-2023.

Positive

• Strong cash position enabling investment opportunities.
• Plans to invest $10-$50 million in high-yielding cannabis properties.
• Projected annual returns of 18%-20% from cannabis investments.
• Plans for uplisting to NYSE American or NASDAQ by mid-2023.

Negative

• None.

Atlanta, GA, May 11, 2022 (GLOBE NEWSWIRE) -- At a time when many financial analysts are predicting an impending recession, global real estate firm UC Asset (OTCQX: UCASU) is pleased to restate that the company is positioned to deliver considerable profit growth over the upcoming years.

“We are of course hoping against the projected recession many financial analysts are forecasting,” says UC Asset founder Larry Wu, “but we are relieved that, due to our forward thinking strategy of building the most innovative portfolio in real estate, our portfolio is recession proof in many ways.”

UC Asset has steered away from conventional investment strategies over the last few years. “Conventional real estate strategy is sensitive to interest rates. It usually performs better when the interest rate goes lower,” explains Wu, “If you look at interest rates in the US, the general trend is downward over the past 40 years.  Under such an environment real estate portfolio management has evolved to adopting those conventional strategies. However, when interest rates are at almost zero, it will inevitably open up to a new era of upward interest rate movement. Accordingly, we believe real estate portfolio managers should adopt new and innovative strategies.”

In 2020, UC Asset switched its portfolio allocation strategy and exited most of its investments in residential properties. By the year end of 2021, the company had an abundant amount of cash in hand. “Our strong cash position allows us to maximize opportunities that will undoubtedly arise over the upcoming months,” states Wu. 

In 2021, UC Asset made investments into trendy concepts of properties, such as Airbnb properties, and historical landmarks utilizing NFT(non-fungible token) development. At the top of the fourth quarter of 2021, the company announced cannabis properties would be the primary growth point of portfolio allocation over the next 12 to 24 months. UC Asset plans to invest $10 million to $50 million in high-yielding cannabis properties, subject to the success of capital raising.

“Currently there are very few public companies investing in cannabis properties, “ says Greg Bankston, managing partner of UC Asset. “According to publicly available data, their investment are usually yielding 18%-20% annual return. Cash-on-cash return could be higher. Based on several pilot projects we are currently working on, our return on cannabis properties will likely fall within that range.”

“We are very pleased with what we’ve been able to deliver to our shareholders thus far. We’ve also been able to leverage the company’s new initiatives in a way that allows us to forecast immense potential growth if things continue progressing as they have over the upcoming months. Our next step is uplisting to NYSE American or NASDAQ Small cap with a secondary public offering of around $10-30 million,” projects Banskton. “We are confident that this goal is attainable by the end of the year or in the first half of 2023.” 

About UC Asset LP

UC Asset LP is a limited partnership formed for the purpose of investing in real estate with innovative strategies, concentrating in metropolitan areas of Atlanta, GA.  For more information about UC Asset, please visit: www.ucasset.com. 

Disclaimer:

This News Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause our actual results, performance or achievements, or industry results, to differ materially from any these statements. You are cautioned not to place undue reliance on any those forward-looking statements. Except as otherwise required by the federal securities laws, we undertake no obligation to publicly update or revise any forward-looking statements after the date of this news release. None of such forward-looking statements should be regarded as a representation by us or any other person that the objectives and plans set forth in this News Release will be achieved or be executed.

For More Information Contact:
Christal Jordan | Executive Director, UC Asset LP
cjordan@ucasset.com | 678-499-0297

FAQ

What is UC Asset's investment strategy for 2022?

UC Asset is focusing on innovative real estate strategies, particularly in cannabis and trendy properties, to achieve substantial profit growth.

What are the expected annual returns for UC Asset's cannabis investments?

UC Asset projects annual returns of 18%-20% from its cannabis property investments.

What is the significance of UC Asset's cash position?

The strong cash position allows UC Asset to maximize investment opportunities in the property market, particularly in high-yield sectors.

When does UC Asset plan to uplist to NYSE American or NASDAQ?

UC Asset aims to uplist to NYSE American or NASDAQ by the end of 2022 or the first half of 2023.

What is the investment range UC Asset plans for cannabis properties?

UC Asset plans to invest between $10 million to $50 million in cannabis properties based on successful capital raising.