Rae põik 2, Rae vald, Harjumaa (IX)
Terrace house apartments near Tallinn
- Start of investment period05.08.2022
- Start time04.08.2022 15:45
- Asset classResidential
- Investment typeDevelopment
- Investment end date30.12.2022
- Remaining term4 months
- Expected rate of return10.3% p.a.
- Expected cash yield%
- No of investors134
- Goal€58 000
The purpose of the current investment opportunity is to continue with the funding of Rae põik 2 terraced house construction. In this stage it is planned to build the next terraced house with 9 apartments at Rae põik 2, Rae municipality, Harju county, Estonia. While the project is located just outside Tallinn (capital of Estonia) city limits, it is 10 km away from Tallinn city centre.
The Sponsor, Väike-Rae Arenduse OÜ, intends to raise from Crowdestate investors 895,000 euros in several investment rounds. The funds will be used to finance the construction of Rae põik 2. The amount of the current ninth investment round is 58,000 euros. Total loans raised is 773,700 euros (including current 9th).
The construction is in progress (about 84% is completed). The construction deadline is Autumn 2022.
All 9 apartments have been pre-sold. For successful exit it has to be sold (i.e. real right sales contracts signed) 6 apartments.
Investment period is 5 months (30.12.2022).
Fixed interest rate of the loan is 10% p.a. There is no periodic interest payments. Accrued interest is payable at the signing of apartments' sales contracts or at the end of the loan period latest.
The loan is secured by a 1st mortgage on Rae põik 2 property with a row house building under construction.
The value of the collateral is currently 1.02 million euros (incl. unbuilt land plot + actual construction works). LTV is currently 75% and it will reach up to 77% when funding is completed.
The Sponsor has completed the terraced house of neighboring Rae põik 6 and 8 plots and repaid Crowdestate investors' loan on time. Construction of the same type terraced house at Rae põik 10 is also underway and it is also financed by Crowdestate investors.