Next Tuesday, 30 June at 16:00 (UTC+2), we will open the El Campello project for investment. This is a new real estate loan opportunity in the province of Alicante.
The transaction consists of partially financing the acquisition of an urban plot of fully permitted land, as well as the VAT on the purchase. The asset is located in El Campello, one of the most attractive coastal municipalities in the Alicante metropolitan area. A boutique development of 24 luxury townhouses is planned on the beachfront plot.
This will be Urbanitae’s 12th project in the province of Alicante, where we have already financed more than €29 million. In addition, it reinforces our activity in the Valencian Community. With more than €51 million financed, it is now the third autonomous community with the highest accumulated investment on Urbanitae, behind only Andalusia and the Community of Madrid.
- 📅 Opening for investment: Tuesday, 30 June at 16:00 (UTC+2)
- 🎙 Project webinar: Monday, 29 June at 10:00 (UTC+2)
A Beachfront Plot
The asset is located in Cala de l’Amerador, in El Campello, Alicante. This is an established, low-density residential area on the beachfront, with particular appeal for both national and international buyers.
The plot has a surface area of 5,575 m² and a total buildable area of 2,889 m² for residential use. The planned project involves the development of 24 luxury townhouses, with a ground floor plus one upper floor and underground parking.
Location is one of the key elements of the investment thesis. The asset is just 300 metres from access points to the N-332 road, the AP-7 motorway and the Alicante-Denia TRAM line. As a result, it offers good connectivity with Alicante, the Costa Blanca and other nearby municipalities.
Fully Permitted Urban Land Ready for Licence Processing
The project will be developed on consolidated urban land, within sector UZ-7. The plot has building plot status and is ready for development. Therefore, no additional prior urban planning procedures are required.
The strategy is to apply directly for the major building permit before El Campello Town Hall. According to the available information, the estimated timeframe for obtaining it is between 9 and 10 months.
This situation reduces the initial urban planning risk. It is not land pending planning approval, reparcelling or urbanisation works. Instead, it is a fully permitted plot that is ready to move towards the licensing phase.
The Manager: Mölnir Real Estate Group
The project manager is Mölnir Real Estate Group, a real estate investment and development firm backed by Norwegian capital and focused on the Valencian Community.
The team has more than 30 years of experience in private equity, international investment and construction. In this project, Mölnir will be responsible for technical, legal and commercial coordination through to delivery of the homes.
To ensure development quality, the manager works with specialised local partners. Among them is ADORAS, an Alicante-based architecture studio linked to benchmark projects in the area and experienced in residential development on the Costa Blanca.
Total Return of 10% in 12 Months
The transaction is structured as debt, through a fixed-rate loan. Its main characteristics are as follows:
- Amount: €2,255,000
- Interest rate: 10.0% simple annual interest
- Total return: 10.0%
- Term: 12 months
- Possible extension: 6 additional months
- Minimum return: equivalent to 6 months of interest, that is, 5.0%
- Amortisation: bullet structure, with principal and interest paid at maturity
Full early repayment will be allowed at any time. However, it will be subject to the minimum return of 6 months of interest and fees.
The loan amount will be used entirely to finance the partial payment of the asset, whose purchase price amounts to €3,250,000. It will also cover the VAT associated with the transaction and the debt structuring costs.
The manager will contribute the remaining capital required to complete the acquisition through additional equity. It will also cover the future technical, commercial and construction costs of the development.
A Defensive Structure
The transaction has an LTC of 43.6% on the initial acquisition and structuring phase. This represents a conservative structure in relation to the initial costs of the project.
In addition, the business plan for the underlying development targets revenue of around €19.5 million. This is linked to the future development of 24 homes, with a design aimed at high-net-worth buyers and international demand.
The loan does not finance the entire development. Instead, it finances a specific initial phase: acquisition, VAT and structuring. This clear delimitation reinforces the defensive nature of the transaction.
Loan Guarantees
The loan has a guarantee package consisting of:
- First-ranking mortgage over the underlying asset, with mortgage liability of 135%.
- First-ranking pledge over the shares of the borrower SPV.
- First-ranking pledge over the current accounts of the borrower SPV.
- First-ranking pledge over the VAT account.
The first-ranking mortgage guarantee over the plot is one of the central elements of the structure. It is combined with a low level of leverage on the initial acquisition and structuring phase.
Exit Strategy
Repayment of the loan is expected through two main sources of liquidity.
The first is the refund of the VAT on the purchase by the Spanish Tax Agency, which would allow a partial amortisation of the loan. The second source consists of new equity contributions from the developer, which will be completed during the life of the debt.
In addition, obtaining the licence during the loan term would facilitate the entry of traditional bank financing to cover later phases of the development.
Why Invest in the El Campello Project
These are some of the main strengths of the transaction:
- Fully permitted beachfront urban plot, located in Cala de l’Amerador, El Campello.
- Consolidated land ready to apply directly for the major building permit, with no additional prior urban planning procedures.
- First-ranking mortgage over the underlying asset.
- Fixed return of 10.0% simple annual interest, with a minimum return equivalent to 6 months of interest.
- LTC of 43.6% on the initial acquisition and structuring phase.
- Expected exit through the VAT refund and new equity contributions from the developer.
- Manager specialised in the Valencian Community, backed by Norwegian capital and with a team experienced in investment and construction.
- Low-density residential product in an area with structural demand from international buyers, especially from northern Europe.
Estimated Timeline
The estimated term of the loan is 12 months, with a possible extension of 6 additional months.
The main expected milestones are:
- 10 July 2026: granting of the loan by Urbanitae investors and formal execution of the land purchase before a notary.
- October 2026: official launch of the marketing campaign and off-plan sales of the homes.
- 31 July 2027: base maturity of the loan, collection of the pledged VAT refunds and/or developer’s own funds, and expected repayment to Urbanitae investors.
- 31 January 2028: final maturity of the transaction if the 6-month extension is executed.
As with any real estate investment, timelines may vary. They will depend on the actual progress of the project, administrative processing and financing conditions.
A New Transaction on the Costa Blanca
The El Campello project makes it possible to participate in a loan transaction backed by a fully permitted beachfront plot. It also offers a reinforced guarantee structure and a conservative level of leverage.
The combination of location, asset quality, low LTC, first-ranking mortgage guarantee and expected exit through VAT refund and new developer contributions reinforces the appeal of this new opportunity in the province of Alicante.
The opening for investment will take place on Tuesday, 30 June at 16:00 (UTC+2).
Questions About the Project?
You can submit your questions during the webinar on Monday, 29 June at 10:00 (UTC+2).
You can also write to us at contacto@urbanitae.com or call us on (+34) 911 23 25 22.
