Urbe Born

 Renovation Loan
Barcelona, Spain
Status
Done
403 388 € (99.85%)
404 000 €
124 investor(s)
Term: 12 months
Interest payment schedule: Quarterly
10%
Annual yield
65%
LTV
First
Mortgage rank
Yes
EVOEstate skin in the game

EvoEstate comment:

Medium risk project, because it's a renovation loan, with reasonable valuation. The funds will be used for the renovation of the existing property which shall increase the value.

The area where the property is located has an active market, but also high competition, but the sales price of new redevelopments is still competetive with current listings.

There's a large margin of safety for the investors as the developer expects to earn 27.58%

StockcrowdIN summary

The URBE-BCN (URBE ENGINOVA SL) group presents Urbe Born, a great investment opportunity in 3 homes and a loft located in one of the best known districts of Barcelona (in Hostal de Sant Antoni street, nº8).

It is a spectacular project for the acquisition and reform of a complete estate, the emblematic Hostal de Sant Antoni building. In its vicinity you can find the mythical park of the Citadel, the Picasso Museum or the Plaza de Sant Jaume (where the City Hall of Barcelona is located). A project that already has the  approved works license and the immediate start of the works is foreseen.

With an objective of  404,000 euros (for the financing of project expenses, license, works and sale) you can participate in a fixed interest loan with payment of quarterly interest, repayment of principal capital at maturity and an estimated total return of 10% within a planned period of 12 months. In this dossier you can consult more information about the project.

A solid project with its own financing from the promoter (571,218 euros) close to 60% of the total required.

With a minimum investment of 500 euros , you can participate in this opportunity that offers you quarterly interest payments.

You will not have to wait for the sale of real estate to obtain returns!

 

The promoter

 

The URBE-BCN team has been offering innovative engineering and Real Estate solutions for more than 15 years. The company, focused on building projects, residential development, facilities, energy, civil works and mobility, intensifies innovation and technological development in its constant progress towards the future.

Among its figures is the realization of more than 300 building projects, more than 120 energy projects and more than 200 homes distributed in different real estate developments.

In addition, its services are very committed to the environment. Its solutions are aimed at the well-being of people with a clear commitment to renewable energy.

The building

 

Urbe Born is an opportunity to rehabilitate a mythical building of the XV century. A project that respects the history of its facade, recovering the original engravings of it thanks to a large team of artisans.

In turn, inside, after a spectacular reform, will house:

 - A commercial premises on the ground floor of 52.60m2.

 - A house on the 1st floor with 2 bedrooms and 1 bathroom, with a total area of ​​57m2.

 - Two homes on the 2nd and 4th floor with 2 bedrooms and 1 bathroom, with a total area of ​​56m2, respectively.

The rehabilitation of the farm and renovation of the floors and premises has a license from the City Council and will begin the works immediately.

The developer specializes in rehabilitating and building this type of space using optimal materials creating modern, bright, spacious and comfortable infrastructure.

Zona Born is a unique project in a building with history and personality in one of the most attractive neighborhoods requested by residents and foreigners.

 

 

The environment

 

El Born is one of the most characteristic neighborhoods of Barcelona. Belonging to the district of Ciutat Vella, the attractiveness of its streets and architecture, in addition to its museums, shops and bars, attract residents and tourists. A neighborhood in which an alternative, respectful and energetic atmosphere is breathed.

Among its streets you can find works of art such as Santa María del Mar. Considered as one of the most beautiful cathedrals in the world, it is the maximum architectural expression of Catalan Gothic.

Another of the surprises that this neighborhood keeps is the old Born Market. In 2002, archaeological remains of the 14th century were found in an excellent state of conservation and are currently exposed so that all the public can visit them.

In addition to its multiple historical and leisure offer, Hostal de Sant Antoni is in a perfect and central location, where you can walk to several of the most important points of Barcelona. In turn, its communication is unbeatable in public and private transport:

 - A 5 minute walk from França station (train).

 - A 5 minute walk from the Jaume I metro (Line 4).

 - 1 km from the Barcelona Nord Bus Station.

 - Less than 1km from the Ronda Litoral and the old port.

 

Location

 

The loan

 

The loan is presented as a very attractive investment opportunity:

  • Purpose:  The loan issued will allow to finance expenses with the basic, executive, license, construction project and rehabilitation works of 3 homes, 1 commercial premises and common areas of the farm.
  • Type of product:  Fixed interest loan. The nominal annual interest is 10%
  • Total Estimated Profitability:  10%
  • Estimated term:  12 months
  • Frequency of interest payments:  Quarters paid for overdue quarters, counted from date to date from the day following the loan start date
  • Amortization Type:  At maturity
  • Guarantees:  Debt Recognition before a Notary and endorsed by the company CREA ESPAIS PROMOCIONS SL
  • You can participate in this investment from only € 500

 

Tariffs

 

Commercialization Rate of the property
It is the rate that can be charged by the promoter, manager or external collaborating agent that participates in the commercialization of the property as sales intermediation. It is contemplated in the project costs. It is disbursed at the time of the sale of the property and the resources obtained by it are used. The amount of € 38,550 corresponds to the amount to be paid as commission in the sale intermediation. A percentage of 3% over a total of 1,244,250 euros has been estimated.

Stockcrowd IN Success Rate This
is the rate charged by Stockcrowd IN. Corresponds to a% of the money raised for the project as long as it is successfully closed. In case of not closing successfully, StockCrowd IN does not charge. Once the campaign is finished and as a previous step to the delivery of the money to the promoter / manager, it is discounted in favor of StockCrowd IN. It affects the total to be financed and is contemplated in the costs of the project, therefore, it is supported by the investors indirectly. In this case, 2.87% + VAT is charged. on the capital to be financed from € 404,000.00. 

Payment gateway rate (Lemonway)
It is the fee charged by Lemonway, which is an entity called a payment gateway, charged as payment intermediation. The promoter or manager makes a provision of funds of 1% on the total to be financed before starting the campaign. It is disbursed when the investor invests in the project and Lemonway always charges, whether or not the campaign is successful. In the event that the campaign is unsuccessful and the money has to be returned to the investors, they fully recover it and the money invested in Lemonway during the project financing period is fully funded by the promoter or manager. Also note that Lemonway also charges when the promoter or manager deposits the return of capital and benefits to the investor. It affects each monetary transaction and has an impact on the final profitability obtained by the investors and is therefore indirectly paid for by them as it is another project cost. It affects each monetary transaction and has an impact on the final profitability obtained by the investors and is therefore indirectly paid for by them as it is another project cost. The percentages below are applied:
0.20 euros + 0.5% of each operation carried out by bank transfer + VAT
0.20 euros + 0.7% of each operation carried out with a national credit / debit card + VAT
0.20 euros + 1.7% of each operation performed with international debit / credit card + VAT

 

Market Summary

 

In the Born district there is an unsatisfied demand for small / medium-sized apartments, since most existing developments have 88 to 300 m2 floors, which means that there is a high demand for the proposed type. Due to its proximity to the marina and the historic center, this area is highly sought after by international clients for both purchase and rental.

 

Risks

 

The investment in this project involves the following risks: risk of not obtaining the expected monetary return, risk of falling prices, risk of not completing the financing, political risk, risk of rising rates, risk of lack of liquidity to recover the capital invested, subordinated nature of the loan (particularly against the mortgagee, in those cases in which the acquisition of the property object of the project is financed additionally by means of loans with mortgage guarantee), risk of total or partial loss of the invested capital and risk of fraud.

Risk of falling prices:   That the price of the property falls due to the increase in supply or decrease in demand in the area. There may also be a general fall in property prices due to many factors.

Mitigation:  The promoter knows perfectly the dynamics of the market and his team consists of professionals with extensive experience in the sector. Your knowledge and know-how allows you to identify and anticipate price trends, anticipating the market. There is an appraisal of the property and sometimes a market study is carried out.

Liquidity risk:  Unable to find a buyer when you want to sell the property.

Mitigation:  The sales team knows the dynamics of the market and is structured with a team of partners in intermediation services to reduce this risk.

Risk of rising rates:  Increase in the cost of financing the purchase of real estate (mortgages). What would push down the demand of the housing market.

Mitigation:  The most reputed economists expect the European Central Bank not to raise interest rates dramatically this year. And the rise that will be implemented in the future will be very slow.

Political risk:  What happens if political instability grows during this year.

Mitigation:   Being an asset located in a very consolidated and exclusive area, it does not influence frontally, allowing to reduce this risk significantly.

Risk of not completing the financing:   What happens if the investments do not complete the entire objective of the opportunity in the planned time.

Mitigation:   The Law for the Promotion of Business Financing 5/2015, allows Participatory Financing Platforms to exceed the initially planned term of up to 25%. If the opportunity had reached at least 90% of the financing objective, it may be effectively terminated. In the event that the campaign does not reach the minimum 90% of the project, all amounts are returned by the platform at no cost to the investor.

Risk of loss of total capital or of not obtaining the expected monetary return:   It is important to keep in mind that there is no safe investment, and as in any investment, there is always the risk, not only of not obtaining the expected returns, but of losing all of the invested There may be a bankruptcy or bankruptcy by the developer or the estimates of your business plan for various reasons are not met.

Mitigation:   Stockcrowd IN executes a risk analysis of both the promoter and the opportunity. It is studied that the promoter is up-to-date with AEAT and with TGSS and that it is not registered in RAI. Likewise, it is studied that no information has been registered on the Public Administration claim, nor lawsuits and that the company deposits its accounts with regularity.

Fraud risk: It  should be noted that there may be a risk of fraud due to improper use of the money obtained for the project. There may be fraudulent use of money from any real estate transaction.

Mitigation:   In response to the Law on the Promotion of Business Financing 5/2015, Stockcrowd IN requests a criminal record and an Honorability Test of the administrators and shareholders with high participation in the companies that execute the project. Also, explain that until the participatory financing campaign is completed, the promoter does not have the funds when going to an escrow account where he does not have access. It is also required that every two months, the promoter informs about the use of money and therefore the evolution of the project. You are also required to keep an analytical accounting of the project and separately.

 

Warnings

 

StockcrowdIN is a participatory financing platform that is not covered by investment or deposit guarantee funds. The projects are not subject to supervision by the CNMV or the Bank of Spain or any other regulator. The information provided by the promoter has not been reviewed by the CNMV nor was it approved by it. The investment opportunities offered by StockcrowdIN are previously studied and approved by the platform, but this does not provide financial and other advice. The information provided on this website is not considered advice and is only general information. The forecasts and information presented by the promoter or manager are only business plans and may undergo modifications in the course of operations.

 

Project originated by:
Status
Done
403 388 € (99.85%)
404 000 €
124 investor(s)
Term: 12 months
Interest payment schedule: Quarterly
10%
Annual yield
65%
LTV
First
Mortgage rank
Yes
EVOEstate skin in the game