Pathfinder Ventures Signs LOI to Acquire Large Alberta RV Park with Expansion Potential

Pathfinder Ventures Inc. (TSXV:RV) has signed a Letter of Intent (LOI) to acquire an RV Resort in Alberta for $10 million. This acquisition includes over 200 RV sites and promises significant revenue benefits, with an estimated net operating income of $1 million annually.

The 48-acre property features 187 Year-round sites and 28 Seasonal sites. There is potential to expand by adding over 166 additional sites, bringing the total to around 400 RV sites. This aligns with Pathfinder's current portfolio, which includes 316 RV sites.

Pathfinder will finance this purchase through $1 million in cash, a $6.5 million first mortgage debt, and a $2.5 million Vendor Take Back (VTB) arrangement. The transaction is expected to close in October 2024, pending due diligence and regulatory approvals.

Situated near major economic hubs in Alberta, the RV park is strategically placed to meet high demand for RV and camping accommodations. Pathfinder’s management is optimistic about growth in the RV industry, bolstered by a strong M&A pipeline and potential declines in interest rates.