Lutherwood-COD(Community Opportunities Development Association) Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

In early 2003, Rev. Dr. Dieter Case, CEO Lutherwood-CODA, thinking of Luther Village, brave Canadian non-profit organization, three-phase, 12-year, $ 75 million real estate project to develop a comprehensive high-end, 20-acre, 750-members of the retirement community in downtown Waterloo. In the first two phases of the project complete, Luther Village has collected $ 4.5 million in profits from the building. Phases I and II of Luther Village were sold. At that time, Lutherwood-CODA brought to the market a new concept in old housing services. However, Phase III, $ 20 million through the center of life to serve people with the daily maintenance and care needs to be completed in a much more competitive market. Demand for the new facility was lower than it was during the Phase I and II. In addition, Lutherwood assumed substantial debt to fund the Phase III. All funds generated during Phase I and II have been reinvested in the phase III. Case knew the organization's ability to service its obligations depends on the ability to sell and fill out a new assisted living facility as soon as possible. Lutherwood-CODA can tolerate a new level of financial risk? Will the market and economic conditions allow Phase III for its aggressive marketing program? Whether the project is really to generate sufficient funds for social programs Lutherwood-CODA author? Was the development and functioning of Luther Village in line with a social mission in Lutherwood? "Hide
by James Phills, Dan Kalafatas Source: Stanford Graduate School of Business 22 pages. Publication Date: March 18, 2003. Prod. #: SI35-PDF-ENG