Description
This opportunity will be financed under the Earlyfunding system. See here the conditions
WECITY complies with Law 5/2015 and with Regulation (EU) 2020/1503 of the European Parliament and of the Council of 7 October 2020 on European providers of crowdfunding services for companies. It is authorized by the CNMV as a Participatory Financing Platform registered under number 30, with a favorable proposal from the Bank of Spain.
Proyectos Alba-Salina SL requests financing from wecity for this investment opportunity.
Investor, before making your investment please read the basic information for the investor client. Past performance does not guarantee future performance.
The investment
It consists of a loan in the amount of €1,500,000 at a fixed rate with a 1st degree mortgage guarantee, corresponding to PHASE I of the total financing, which may amount to a maximum of €2,100,000 in 2 phases. The objective is to finance the acquisition and completion of work (12.75% execution of the current state) of a residential development located at Calle La Herrada, plot 12.1, Los Montesinos (Alicante).
The plot has an approximate registered area of 3,302 m2. The development consists of a total of 14 single-family homes with private garden and swimming pool. The pre-sales level is 42.85% (6 of 14 documented reservations for an amount of 407,014 €).
The developer has already linked its own funds to the project in the amount of €479,934 and €407,014 of down payments already made by the buyers. These amounts, together with the €2,100,000 requested from the wecity investors and the future down payments from the buyers, total the €4,479,634 required for the development of the promotion. It should be noted that the activation of PHASE II will be conditioned to the cancellation of the 4 homes of this project.
Through wecity you can participate in a fixed rate loan operation with an annual interest rate of 12% for an estimated term of 9 months (6 months of obligatory compliance) with the possibility of an extension of 3 additional months. The total estimated return is 9% for 9 months (or 12% if the final term is with the 3-month extension).
Interest payment + return of the invested capital will be made at maturity.
With a minimum investment of 500 € and no investment limit, you can participate in this opportunity with an excellent profitability and with the maximum guarantees.
“If I invest €100,000 I will have an estimated total profit of €9,000.”.000 €”
Valuation
The current appraisal for mortgage guarantee purposes (ECO Order 805/2003) amounts to €1,685,059. This represents a Loan to Value (LTV) over the current appraisal of 89.01%.
The appraisal on the assumption of a finished building amounts to € 5,539,979. This represents a Loan to Value (LTV) on HET appraisal of 37.90%.
The Loan to Value (LTV) on first disposal is 50.47%.
The project
The project involves the acquisition of the plot and the completion of the construction of 14 single-family homes, with private garden and swimming pool.
Imágenes de vivienda similar de fases anteriores
Environment and location
The project is located in the town of Los Montesinos (Alicante). Located in the triangle formed by the cities of Alicante, Murcia and Cartagena, access to these cities is fast and through roads in a perfect state of preservation. In addition, the town of Torrevieja, one of the coastal cities with more tourist tradition of the Valencian community is only 10 km away. The municipality of Los Montesinos, is surrounded by farmland, and by the great natural beauty that gives the views of the Salinas de Torrevieja..
The mortgage guarantee
The loan will have as 1st degree mortgage guarantee the plot of land and the building, located at Calle La Herrada, Parcela 12.1, Los Montesinos (Alicante).
The independent appraisal company in charge of identifying the value is GESVALT , whose corporate name is GESVALT SOCIEDAD DE TASACIÓN SA, and is registered as an approved appraisal company by the Bank of Spain under number 4,455.
According to the appraisal report prepared by GESVALT, the current appraisal amounts to 1,685,058 €.
The loan to be made to the developer is 1,500,000 €, which means a Loan to Value over the current appraisal of 89.01%.
Guarantee agent
The constitution, preservation, management, administration and, if applicable, enforcement of the real estate mortgage rights on behalf of the investors will be carried out by an entity external to wecity.
In this case the designated Collateral Agent is BONDHOLDERS.
Bondholders, is a professional company specialized mainly in providing independent commission agent and escrow services over different asset classes and under numerous international jurisdictions.
In recent years Bondholders has been mandated as agent and arranger in more than 400 transactions representing a total of nearly 200 billion euros in debt.
Its main clients include, among others, financial institutions, institutional clients, asset managers, sovereign government agencies.
Currently one of the leaders in Europe in providing independent fiduciary services.
Monitoring
The promoter must justify the use of the funds in each of the applications.
The use of the funds by the promoter will be monitored by a company external to wecity.
Keys
- Type of Investment: Fixed interest loan.
- Guarantee: 1st degree mortgage.
- Purpose of the loan: Construction and development costs of a real estate development of 14 single-family homes located in Los Montesinos (Ali
- Contribution:
- Sponsor contribution: 479,934 €.
- Buyers’ contribution: 407,014 €.
- Future contributions from buyers: 1,492,686 €.
- Wecity investors: 1.500.000 €.
- Type of property: New Construction-Residencial
- Interest rate: 12 % annual
- Estimated total return: 9%.
- LTV First Disposal Appraisal: 50,47 %
- LTV HET appraisal: 37.90 %
- Loan term: 9 months (+3 months possible extension)
- Interest payment: at maturity
- Minimum investment: 500 €.
