BIELEFELD

 Purchase Loan
Project listed: 26.08.2020
Bielefeld,
Germany
445 800.00 €
Raised Of 1 000 000.00 €
6%
Annual yield
Term: 12 months
Mortgage rank:
Second
Interest payment schedule:
Biannually
Invest:
Interest payments
20.03.2021
Pending

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Risk rating

CriteriaFrom -2 to 2
Property type0
LTV2
Loan Structure0
Pre-sales-2
Experience0
License0
Macro-location1
Micro-location0
Purpose of the loan0
Investment length1
EvoEstate Risk rating is of an informative nature only and can not be considered investment advice.
Project rating
A
Originator rating
A

Descripton

INVESTMENT OVERVIEW

  • 6 % interest rate p.a.
  • Experienced issuer with a strong track record
  • Minimum term of 12 Monaten
  • Interest paid every six months
  • Fully rented apartment complex
  • No fees for investors

REASONS WHY YOU SHOULD INVEST 

1. Location with potential

Bielefeld and the surrounding municipalities form a very strong economic region. The popular combination of urbanity and idyll is an important driver in this respect. In addition to a number of internationally renowned corporations such as Bertelsmann, Dr. Oetker or Miele, the local middle class is led by numerous hidden champions. With eight universities, the region is of outstanding importance as a center of science. This also leads to the high demand for smaller apartments.

2. Attractive interest rate with short maturity

Bielefeld and the surrounding municipalities form a very strong economic region. The popular combination of urbanity and idyll is an important driver in this respect. In addition to a number of internationally renowned corporations such as Bertelsmann, Dr. Oetker or Miele, the local middle class is led by numerous hidden champions. With eight universities, the region is of outstanding importance as a center of science. This also leads to the high demand for smaller apartments.

3. Experienced issuer

The Issuer Alpha Real Estate Holding GmbH is an asset and investment manager operating throughout Germany. The focus is on residential real estate in B and C cities, where high price increases are still possible. In 2019, the retail sale of apartments was increased by 70% to 467 units. For the first half of 2020 a sales increase of 270% has been communicated.

 

 

 

DEVELOPER

The Alpha Real Estate Group is a nationwide active asset and investment manager specialising in residential real estate. The focus of its activities is on the privatisation of residential portfolios. With its range of services, Alpha Real Estate Group realizes potential for private investors and professional investors as well as for tenants and owner-occupiers. A full range of property management services complements the portfolio of the fast-growing real estate company.

PROPERTY

 

ProjectSeveral apartment buildings
UsageResidential
Living space8,812 m²
Occupancy rateFully occupied
LocationDüsseldorfer Straße 41-51, Rostocker Straße 18 – 20, Wittenberger Straße 12 – 18, 15 – 27 und Sauerlandstraße 52-56 in 33647 Gutenbergstraße 2 in 33615 Bielefeld, der Bleichstraße 2 in 33607 Bielefeld
Funding-Goal1,000,000 €
Minimum duration12 months
RepaymentSale of the property
Interest rate paymentsEvery six months

 

MACRO POSITION

The university city of Bielefeld is the eighth largest city in North Rhine-Westphalia and has about 334,000 inhabitants, including 35,000 students. The city is located in the heart of East Westphalia and is the engine for the surrounding economic region.

In addition to a number of internationally renowned corporations such as Bertelsmann, Dr. Oetker or Miele, the small and medium-sized businesses there are led by numerous hidden champions. 290,000 employees subject to social insurance contributions work in the companies in the eleven partner municipalities. Together, they make Ostwestfalen-Lippe one of the most sustainable economic regions in Germany. Entrepreneurship with a down-to-earth approach, innovative spirit and excellent transport connections are the catalysts for start-ups and further growth.

Important educational region 

With eight universities, the region is of outstanding importance as a centre of science. As a result, companies benefit from excellent training of specialists and managers on site. About 40,000 students are trained in the region. The Bertelsmann Stiftung and the Center for Higher Education Development (CHE) are also known nationwide as a think tank.

Small appartments in demand  

The high proportion of students and young professionals means that the demand for apartments with 1 to 3 rooms is constantly increasing. In general, the housing stock in Bielefeld grew by 3.3% to 171,410 residential units between 2010 and 2018. One-room flats have continued to decline. Two-room apartments (+1,205), three-room apartments (+1,472), four-room apartments (+843) and apartments with five or more rooms (+2,049) have increased. At the same time, the structural vacancy rate is decreasing and continues to decline at 0.3% of the housing stock. This is the lowest value in 14 years.

LOCATION

The portfolio consists of four plots of land, some of which are developed with several properties. The usage consists of 100% residential properties. Two properties are located in the immediate vicinity of Bielefeld's main railway station, while the remaining properties are located at two sites south of the city centre in the Brackwede district. Brackwede is known for its good infrastructural connections and direct proximity to the southern part of the Teutoburger Wald. The portfolio has a total living space of approx. 8,812 sqm, which is divided among 147 apartments. With the exception of the residential complex "Düsseldorfer Str. 41-51, Rostocker Str. 18-20, Wittenberger Str. 12-18, 15-27, in 33615 Bielefeld", the remaining properties will be sold en-bloc.

Project originated by:

Documentation

445 800.00 €
Raised Of 1 000 000.00 €
6%
Annual yield
Term: 12 months
Mortgage rank:
Second
Interest payment schedule:
Biannually
Invest:
Interest payments
20.03.2021
Pending
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