New project! Invest with a 17.5% return in Madrid

We have a new project at Urbanitae! We are back in Madrid—a city where we have already financed almost 50 million euros across 35 projects—specifically in El Plantío. This is a prime development, which we are opening for investment on Tuesday, September 24, at 16:00 (UTC+2). Want to invest with a 17% return in Madrid? We’ll tell you how.

The El Plantío project involves granting a loan for the acquisition, construction, and subsequent sale of six single-family homes in the Moncloa-Aravaca district of Madrid, in a neighborhood known as El Plantío.

We are talking about prime homes: the development will consist of four duplexes, spread across two buildings with gardens, and two penthouses. The six homes will be equipped with high-quality features and will include three to four bedrooms, three or four bathrooms, an additional half-bathroom, and large terraces, each with a private pool.

As for the area, El Plantío is located in the west of the Spanish capital and borders the towns of Majadahonda, Pozuelo de Alarcón, and Las Rozas de Madrid. The neighborhood has all kinds of services and is, in fact, one of the highest average annual income areas in Madrid.

The developer of this project is Grupo Laseca, with more than 25 years of experience, specializing in the development and sale of residential assets in premium locations in Madrid, as is the case with the El Plantío project.

17.5% return in 21 months

This is a debt project, where Urbanitae investors will grant a fixed-rate loan to the company created specifically to develop the project. The total loan amount is 3,980,000 euros, structured in three tranches and fully financed by Urbanitae investors.

This time, we are focusing on Tranche A of this loan, amounting to 1,180,000 euros. This tranche will have a 21-month term—with an option to extend for six months at month 21—and an annual interest rate of 10%. The contribution from Urbanitae investors will be used to finance part of the acquisition of the asset and general costs incurred until the license is obtained. Additionally, Tranche A will finance a recapitalization of 400,000 euros in equity that the developer has committed to repaying within a maximum period of six months and, in any case, before March 31, 2025.

The developer, Grupo Laseca, has already contributed 80% of the asset purchase price from its own funds. The asset currently consists of land with a constructed building. The project involves acquiring the asset and demolishing the existing building to then develop six single-family homes. The demolition license has already been approved, while the construction license was applied for in August 2024 through the ECU (Urban Collaborative Entity). Another strong point is that three of the six homes are already reserved.

Loan with mortgage security

Full early repayment will be allowed at any time, meaning that the developer can repay the loan before the planned 21 months. However, they must pay a minimum return equivalent to 12 months of interest. There is also an option for a six-month extension beyond month 21, subject to 80% progress in the construction and 66% in sales.

In debt projects, it is essential to understand the guarantees included in the loan agreement in case the developer is unable to make payments. Among other things, the El Plantío project includes a first-ranking mortgage on the registered property on which the project will be developed through a collateral agent. Investors who enter subsequent tranches will be subordinated to this same mortgage.

Urbanitae investors will exit through the sale of the development.

In this video, the developer and our Real Estate Director, Sergio Arana, explain the details of the project.