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We’re bringing you a new investment opportunity. This time, we’re back in the Barcelona area, where we have already financed close to 13 million euros across seven projects. Now, you have the opportunity to invest in Barcelona with a construction license and commercial progress of over 80%. The launch will take place next Thursday, the 31st, at 4 p.m. (UTC+1).
The Golf Terraces project involves purchasing a building located next to the golf course in Sant Cugat de Vallés, demolishing it, and developing six multi-family homes with parking spaces and shared amenities. The residences have four bedrooms and an average size of 130 square meters, complete with a swimming pool. Sant Cugat is only 5 km from downtown Barcelona, and the property is located in an established area of the city.
As for the developer, Shevat has a broad track record with more than 70 projects developed in Spain – most of them in the Barcelona area.
License and 5 out of 6 units reserved
This project follows a capital gains strategy, meaning that Urbanitae investors will become partners with the developer to acquire the site for the development of the six homes. The developer has already signed a down payment contract and has put down 10% of the purchase price. The remainder will be covered by Urbanitae’s contribution and a land tranche loan from a leading bank. Shevat’s construction company will oversee the project.
In total, Urbanitae investors will contribute 1,530,000 euros. The developer is also investing its own capital, amounting to 20% of the project’s total value.
The Golf Terraces project has two clear strengths. Firstly, the construction license is already in place, which minimizes the project’s timeline risk. Secondly, five of the six homes have already been sold, reflecting a commercial advance of over 80%. However, it is expected that the revenue can be further optimized with the sale price of the final unit.
In this video, our Real Estate Director, Sergio Arana, and the developer explain the project’s details.
Preferred return of 12% IRR
A preferred distribution has been set up for Urbanitae investors over the developer’s equity. In other words, once the company is dissolved, Urbanitae investors will be the first to recover their capital and, in addition, a 12% IRR return, taking priority over the capital and returns of the developer’s equity.
The regulator does not allow us to provide an advance estimate of the project’s profitability, but it can be calculated using the following formula:
(Expected revenue – Estimated costs) / Total equity
The project term is set at 23-27 months. According to the business plan, the asset purchase will be completed in the fourth quarter of this year. Construction will begin in the first quarter of 2025 and conclude between the third and fourth quarters of 2026. The profits will be distributed to investors in the first quarter of 2027.
In any case, you can ask any questions during the webinar we will hold with the developer on Wednesday, October 30th, at 12:30 p.m. (UTC+1). Additionally, we are available at contacto@urbanitae.com and at (+34) 911 23 25 22.
Don’t miss the chance to invest in Barcelona with 80% reservations and preferred returns.
