Genesis secures financing to complete purchase of 617 acres - Delacour (Calgary metropolitan area)

    TSX Stock Symbol: GDC

    CALGARY, Sept. 27 /CNW/ - Genesis Land Development Corp. ("Genesis") has
signed a commitment letter with Firm Capital Corporation, for a mortgage loan
commitment in the principal amount of $18.83 million to partially finance the
purchase of a 617-acre land parcel located in the hamlet of Delacour in the
Municipal District of Rocky View (the "Lands"), as originally described in
Genesis' press release of July 3, 2007. The financing rate is at the greater
of 9.5%, or the TD Canada Trust posted bank prime rate plus 3% per annum for
an open term of one year. The loan is secured by a first mortgage on the
Lands, along with Genesis' corporate covenant, including a General Security
Agreement (GSA). The closing date of the loan and the purchase is on or before
October 15, 2007.
    As indicated by the July 3 press release, a limited partnership offering
is being used to raise funds to complete the purchase of the Lands. To date,
the limited partnership has raised more than $18.7 million in proceeds, of
which a substantial portion will be used to fund the balance of the
$31.38 million purchase price for the Lands. The loan is being used as interim
financing, and it is anticipated that the funds raised in the limited
partnership offering will be used to pay out the loan.

    Genesis Land Development Corp. is a Calgary based land development
company with an inventory of more than 24,000 future residential building
sites (single-family and multi-family) and over 300 acres of commercial/
industrial lands in Western Canada, of which more than 13,000 residential lots
and over 300 acres of commercial/industrial lands are located in the Calgary
metropolitan area.

    Certain statements in this news release could constitute forward-looking
statements. The Corporation's line of business involves risk, uncertainties
and other factors which may cause actual results, performance or achievements
of Genesis to be materially different from any future results, performance or
achievements expressed or implied by such forward looking statements. Such
factors include the number of dwelling sites that Genesis will actually
develop and sell.

For further information:

For further information: Frank Devcich, C.F.O., Genesis Land Development
Corp., Toll Free: (403) 265-8079, 1-800-341-7211, Fax: (403) 266-0746, E-Mail:, Internet:

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