Project update

Update from the originator: 

Dear investors,

After extensive research and review of all information, we have to inform you that bankruptcy proceedings have been opened against the project company Entwicklung Schillgasse 16-18 Immo GmbH. 

In recent years, the entire Rendity team has always had regular and good communication with the management of the VMF Group, especially with Mr. Voithofer and Mr. Lukaseder, who usually responded to inquiries within a few days. The collaboration has always been good so far and over 6 million euros in qualified subordinated loans have been repaid in the past.

This situation has changed in the last few months, so we have no longer received any answers or updates, although we have pushed intensively for a detailed report on the current status of the project from the issuer. We called all known phone numbers several times a day, sent emails and personally visited the company headquarters and the project properties. Unfortunately, we were unable to contact management.

Last week we were finally referred to the issuer's lawyers without comment, who sent us the following statement.
https://bit.ly/vmf-insolvenz

We have continued to make efforts to contact the issuer to obtain more detailed information and a statement. At the same time, we are in contact with the insolvency administrator, Mag. Dr. Günther Hödl and we have also commissioned a lawyer who specializes in insolvency law to represent us. We will of course keep you informed about any developments in this matter.

We have also been informed by various sources that it cannot currently be ruled out that investors in the VMF Group, including externally financing banks, are affected by a case of fraud, although this has already been forwarded to the economic and corruption public prosecutor's office.

In order to live up to the requirement of transparency and to provide you with comprehensive information about the current status and the next steps, we would like to share the following information with you:

Debtor:

Development Schillgasse 16-18 Immo GmbH

Heinrich Bablik-Straße 17
2345 Brunn am Gebirge

FN 556147p

Masseverwalter:

Mag. Günther Hödl

Schulerstraße 18
1010 Vienna

Tel.: 513 16 55, Fax: 513 16 55 33

E-Mail: hoedl@anwaltsteam.at

Opening:

Start of the effects of the opening: April 10, 2024

Registration deadline: May 22, 2024

Self-administration:

No self-administration by the debtor.

Further procedure: 

As part of the insolvency proceedings, an asset status of the company is determined by the insolvency administrator. All of the company's receivables and liabilities are recorded and compared here. In addition, all other assets are included in the company register. These can be movable (equipment, IT devices, etc.) as well as immovable assets (land and real estate, etc.). Finally, an expected level of over-indebtedness is determined, which shows an expected quota for the creditors.

As a subordinated lender, your rights in insolvency proceedings are very limited. The claims from subordinated loans can only be filed in insolvency proceedings in that scenario if the non-subordinated creditors can be expected to be satisfied in full. However, in most cases this does not happen. Rendity will of course be in contact with the responsible insolvency administrator in order to represent your interests in the best possible way. Unfortunately, it is not possible to register claims at this time.

The insolvency proceedings are then handled in court. A period of 3-12 months is usually planned for this. At the end of the process, a quota is determined and the company is closed. If only a quota remains for the non-subordinated creditors to satisfy, the subordinated loans cannot be registered. Only in the course of the conclusion of the insolvency proceedings will the tax effectiveness of the associated business and a loss presentation of the subordinated loans become apparent. You will be informed separately about this.

Additional Information:

The insolvency proceedings are effectively opened at the beginning of the day following the day of the announcement in the insolvency file (www.edikte.justiz.gv.at). The meeting of the creditors' meeting, the audit meeting and the reporting meeting takes place on the following day.

Date: June 5th, 2024
at: 9:40 a.m.
Location:
Marxergasse 1A
1030 Vienna
Room 1610/ 16th floor

We very much regret this development and will be happy to keep you updated on the insolvency proceedings.

Kind regards
Team Rendity 

Update from the originator: 

The issuer of the project informed the originator in the last report that the completion of the project was delayed due to special requests from the buyers.

Unfortunately, this has subsequently pushed back the payment processing timeline. The originator has been informed that a repayment of the capital cannot be made as of February 20, 2024 because the purchase price has not yet been paid in full.

The originator has already asked the issuer to provide them with as concrete a timetable as possible for completion and the subsequent handover. The issuer has not yet complied with this request. The originator is committed to making sure that this is done as soon as possible and that they can provide with more specific information.

The issuer apologizes for the inconvenience and will inform the originator once the appraiser has approved the final inspection of the completed units. As a result of the final settlement, the collected capital is then returned along with interest and default interest.

Update from the originator: 

Unfortunately, the installations were delayed due to the delivery time of the buyer's special requests. 
The general contractor is confident that the delay will be made up in the next few months.

Update form the originator: 

Unfortunately, the Schillgasse construction project is a few weeks behind schedule.
The general contractor Steiner Bau will make up for the delay in the next few months.

Update from the originator: 

100% of the entire residential complex has been sold. The construction work is progressing very well and the general contractor is 4 weeks ahead of the construction schedule. Therefore, completion is ahead of schedule.

Update from the originator: 

The construction project is within the specified time frame and the general contractor as the executing company is finished with the basement/underground car park after the excavation and placement of the bored pile rods have been completed. You are currently working on the walls on the ground floor. The additional wishes of the customer were taken into account. The photovoltaic system is enlarged and the solar panels are doubled - the entire project is even more geared towards sustainability.

Update from the originator:

The shell construction is going according to plan.

Update from the originator:

A civil engineer has already been commissioned to define the demolition area and the area of ​​the construction site and to record the current condition of the neighboring houses. This so-called evidence preservation work in the adjacent apartments and houses will be completed in the next few days. So nothing stands in the way of starting construction in May.

Update from the originator:

The construction details are currently being coordinated. The start of construction is now planned for Q2/ 2022.