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Macro Location Analysis
EvoEstate Risk rating is of an informative nature only & can not be considered investment advice.
Purpose of the loan
The operation concerns the financing of a 41-unit housing development in the commune of Rixheim (Haut-Rhin 68170) at 31-33, rue de l'Ile Napoléon, co-promoted by CITY INVEST (50%) and SCP Taillefesse (50%) through SCCV Les Résidences de Napoléon.
These two promoters have a bond issue in progress with Raizers and have met their first deadline.
The whole project is 100% pre-commercialized to a national social landlord - 3F with a suspensive condition of obtaining approval to release the funding, which has been delayed by the various events of the year 2020.
The operation "Les Résidences de Napoléon" is in the list of operations programmed in 2020 by the Mulhouse community of municipalities to build 16 PLAI social housing units and 25 PLUS social housing units and approval should be obtained by the end of the year. The municipality of Rixheim is deficient in social housing (13.58%) and is classified as a priority 1 municipality by the community of municipalities.
This is a program of 41 collective housing units comprising 2,392 sq.m of living space, 58 parking spaces, including 23 in the basement and 35 outside, and 29 cellars to be built on a 3,445 sq.m plot.
The building permit has been cleared of all appeals and a bank agreement has been granted by CIC to acquire the plots.
The 41 lots are pre-sold to the social landlord 3F of the Action Logement group. This is a national social landlord that manages more than 250,000 social housing units, homes and shops in France, including 147,000 in the Île-de-France region.
Estimated schedule of calls for funds:
Work will begin after the first payment schedule has been received from the social landlord 3F.
The total cost of the works is budgeted at €3,289,198 including tax, i.e. €1,375/sq.m including tax. The works include the foundations, the shell, waterproofing and roofing, partitioning, locksmithing, interior fittings, interior and exterior joinery, electricity and plumbing, as well as the car parks and cellars.
Focus on service providers:
The operator is accompanied by the architectural firm ESPACE 23 EURL, which produced all the plans.
The entire worksite will be monitored by Mr. BIHLER and Mr. TAILLEFESSE through their project management assistance companies BC GESTION and VERONA.
The selling price for new homes at 3F is 2,172 €/m².
This price is slightly higher than the average market price in the area. However, these are new dwellings, contrary to market indicators, which are based on transactions that are mostly old.
The SCCV LES RESIDENCES NAPOLEON, which carries out the operation, is 50% owned by SCP TAILLEFESSE and 50% by SARL CITY INVEST.
In order to comply with the regulatory provisions relating to the bond issue, SAS BT PROMOTION, owned 50% by SCP TAILLEFESSE and 50% by SARL CITY INVEST, will carry out the bond issue.
The €250,000 bond issue will be issued by BT PROMOTION SAS at an annual rate of 10% per annum for a period of 24 months. The interest is paid annually and the capital is repaid in full.
In order to provide additional guarantees, the repayment of the bond is guaranteed by:
* Personal guarantees from Mr. TAILLEFESSE and Mr. BILHER
* First Demand Guarantees from SCP TAILLEFESSE and BC FINANCE
The bond contract provides for early redemption if :
* Delivery of the property
The documents associated with this fundraising are available in the "documentation" tab.
Please note that VAT for resale to a social landlord is estimated at 10%.
The VAT for carrying out new works is 20%, enabling a VAT credit to be recovered on delivery of the building.
The total needs concern the acquisition of land and pre-construction studies.
The work will be financed by calls for funds from 3F.
SCCV LES RESIDENCES NAPOLEON, which will carry out the real estate development operation, and SAS BT Promotion, which will issue the bond, structure 50% owned by two main partners - Cédric Bihler and Pascal Taillefesse, via their respective holding companies.
Together, they mainly carry out property development operations in the Grand-Est and Hauts-de-France regions.
* Cédric Bihler, 47 years old, French: real estate operator since the 2000s, he has always worked in this sector. In addition to his main activity as a property developer, he has also been able to carry out two similar property development operations by selling 41 flats in Bray Dunes (59123) and 36 flats in Kingersheim (68260) to social landlords. Originally from Saint-Louis (68), he manages real estate transactions in the east of France as Project Manager and is supported by his partner as Project Manager.
* Pascal Taillefesse, 60 years old, French: has always worked in the hotel and restaurant business. In addition to his main activity as a hotelier, he has carried out several similar property development operations in partnership with Cédric Bihler. He manages real estate operations in the North of France as a Project Manager and is supported by his partner as a Project Manager.
Balance sheet SARL City Invest
Income statement SARL City Invest
Balance sheet SCP Taillefesse
Income statement SCP Taillefesse