Blvd. Timisoara 103A, Bucharest, Romania (III)
110 apartments in Bucharest, district 6
- Start of investment period02.02.2022
- Start time11.11.2021 11:00
- Asset classResidential
- Investment typeDevelopment
- Investment end date31.03.2023
- Remaining term3 months
- Expected rate of return16% p.a.
- Expected cash yield%
- No of investors405
- Goal€250 000
The goal for this opportunity is to finance the construction of an apartment building, with 110 apartments, situated at 103A, Timisoara Blvd., Bucharest, district 6, Romania. This will be Phase 2 of a larger 230 apartment development on land of 5,000 sqm. Phase 1 including 69 apartments was completed and sold completely in 2019.
Crowdestate investors will have the opportunity to invest in a mortgaged secured senior construction loan in a total amount of up to EUR 3,000,000, arranged in 6-12 tranches, based on the progression of works and the pre-sales. The 1st tranche of EUR 250,000 was raised in February 2021, the 2nd tranche of the project of EUR 350,000 was raised in August 2021. The Sponsor seeks funding in the amount of EUR 250,000 to continue with construction.
The source of reimbursement will be the sale of the units when finalized.
The investment tenor for this tranche is up to 16 months. The interest rate is 16% p.a. and it will be paid in semiannual installments of 8% p.a. interest, with the remaining difference at the end of the loan period or at principal reimbursement, whichever comes first. The loan will be secured with a 3rd rank mortgage on the land and future buildings. The land & existing structure (underground) was initially evaluated for EUR 1.3 million by Colliers International, using the residual income method, and EUR 600,000 were invested on top (Crowdestate’s loans).