Today we bring you a new debt project, the second of 2024. We return to Marbella to offer you the opportunity of investing in luxury. It will be on Thursday, February 22, at 4 p.m. (UTC+1). We’ll tell you everything you need to know.
The Villa Generalife project is located in the Nueva Andalucía district, in the city of Marbella. Specifically, in the luxury residential area of Las Brisas Golf, an exclusive enclave next to the Real Club de Golf Las Brisas.
What we are going to do at Urbanitae is provide financing to acquire, renovate, and sell a luxury villa in this location. After the renovation, the house will have six bedrooms and eight bathrooms. On the rooftop, a space will be set up to include an outdoor cinema, a bar, mini-golf, jacuzzi, fireplace, and a yoga area. In the villa’s basement, among other amenities, there will be an indoor spa with a pool and sauna, a wine cellar, cinema, and gym. And outside, there will be another pool, a kitchen with a pizza oven and barbecue, jacuzzi…
The promoter is SB Property Group, repeating on the platform. Last December, they financed two projects with similar characteristics, Villa Julia and Villa Olivia, located in Estepona and Marbella, respectively. Both were financed in a few minutes, with the participation of over 1,000 investors each.
10.5% annual interest in 12 months
The Villa Generalife project is a debt project. Urbanitae investors’ loan will finance part of the villa’s acquisition, 100% of the renovation cost, and the associated project costs: architects, insurance, design, etc. The promoter will contribute with its own funds the remaining capital to complete the asset’s purchase price.
In more detail, Urbanitae investors will enter the project through the granting of a loan divided into three tranches. Tranche A, the subject of the project, has an amount of 2,440,000 euros and a fixed annual interest rate of 10.5%. The loan term is 12 months, with the possibility of extending it for an additional six months as long as the progress of the work is at least 90%. The total loan amount will be 4,080,000 euros.
The promoter can repay the loan in advance at any time. However, investors are guaranteed a minimum return equivalent to 12 months of interest in Tranche A. The exit of Urbanitae investors will be through the sale of the property.
One of the project’s advantages is that, being a renovation, it is not necessary to apply for a construction license, only a responsible declaration is required. That is, as soon as financing is obtained, construction can begin, which speeds up the timelines.
Regarding the loan guarantees, the contract establishes a first-ranking mortgage on the asset, in addition to the pledge of the shares and accounts of the SPV owning the asset. The loan-to-value is less than 52%.
In this video, the promoter and our CEO explain the details of the Villa Generalife project.
Investing in luxury with a 12-month return
The estimated term of this project is 12 months. Thus, the loan will be granted in March 2024; in March 2025, the works should be completed, and in the third or fourth quarter of 2025, the villa will be sold, and the loan granted by Urbanitae investors will be repaid.
If you have any doubts, next Tuesday, February 20, we will hold a webinar to answer all questions. Also, as always, you can contact us at contacto@urbanitae.com or by calling 911 23 25 22. Don’t miss this opportunity to invest in luxury at 10.5% annual interest.
