Paevälja tee 6, 8, 10, Lubja küla, Viimsi (X)
Mortgage secured row house development project
- Start of investment period28.09.2020
- Start time25.09.2020 11:30
- Asset classResidential
- Investment typeDevelopment
- Investment end date30.09.2021
- Remaining term11 months
- Expected rate of return10.25% p.a.
- Expected cash yield%
- No of investors260
- Goal€100 000
The purpose of current investment opportunity is to finance construction of terraced house project with 12 apartments in 3 separate buildings at Paevälja Road 6, Paevälja Road 8 and Paevälja Road 10, Viimsi, Estonia.
The amount of this funding round is EUR 100,000. Crowdestate’ investors have previously invested in this project in the amount of EUR 1,788,400.
The source of loan repayment is sales of completed apartments.
As we publish this project, the construction, according to the valuation document is at least 85% completed. 9 apartments are sold and 1 is booked.To return the loan principal and pay out interest, Sponsor has to sell 10 apartments.
The investment earns a fixed interest rate at 10,25% p.a. and the loan term is scheduled up to 12 months.
The loan is secured by a 1st rank mortgage on 11 apartments of Paevälja Road 6, Paevälja Road 8 and Paevälja Road 10 properties. One of the apartments is mortgaged to the local municipality to secure investments in infrastructure related to Paevälja Road development.
The value of the collateral is EUR 2,47 million. As additional security, the board member of the Sponsor has agreed to offer personal suretyship in the amount of EUR 100,000. Accordingly, the ratio of total amount of liabilities and collateral value (LTV) is 81%.