{"id":49258,"date":"2024-09-06T08:45:00","date_gmt":"2024-09-06T06:45:00","guid":{"rendered":"https:\/\/blog.urbanitae.com\/?p=49258"},"modified":"2025-09-25T15:19:52","modified_gmt":"2025-09-25T13:19:52","slug":"what-types-of-equity-projects-are-there-in-urbanitae","status":"publish","type":"post","link":"https:\/\/blog.urbanitae.com\/en\/2024\/09\/06\/what-types-of-equity-projects-are-there-in-urbanitae\/","title":{"rendered":"What types of equity projects are there in Urbanitae?"},"content":{"rendered":"\n<p>At Urbanitae, we finance three main types of projects: capital gains, debt, and income. You may often hear us talk about equity projects as synonymous with capital gains projects. However, this is not a perfect equivalence. All capital gains projects in Urbanitae are equity, and all equity projects are capital gains&#8230; but not only capital gains. In this article, we explain the differences.<\/p>\n\n\n\n<p>The first thing to say is that the term equity refers to the structure of the project. There is no single translation in Spanish. We could say that equity refers to a company&#8217;s own funds or share capital. In general, it is often used to refer to shares: for example, if a company has a total of 100 shares and a shareholder owns 10 of them, their equity would be 10%.<\/p>\n\n\n\n<p>This equity of the shareholders would be the amount of money that would be returned to each shareholder if all the company&#8217;s assets were liquidated and all its debts settled. This definition brings us closer to the concept of equity that we handle in Urbanitae&#8217;s <a href=\"https:\/\/blog.urbanitae.com\/en\/2024\/08\/08\/equity-crowdfunding-what-is-it\/?utm_source=blog_en&#038;utm_medium=organic&#038;utm_campaign=urbanitae_blog_0924&#038;utm_term=urbanitae&#038;utm_content=en_tipos_proyectos_equity\" target=\"_blank\" rel=\"noreferrer noopener\">equity crowdfunding<\/a> projects.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Equity projects: what are they?<\/h2>\n\n\n\n<p>Until 2023, Urbanitae only had one type of equity project: capital gains projects, which were\u2014and still are\u2014our specialty. In these projects, developers seek equity partners, i.e., investors who contribute capital to develop a specific project,<strong> generally before the arrival of the development loan<\/strong>. It is common for these funds to be used to purchase the land, which banks do not finance.<\/p>\n\n\n\n<p>In equity projects, therefore, Urbanitae investors and the developer become partners. To do this, a limited company\u2014a <a href=\"https:\/\/blog.urbanitae.com\/en\/2023\/02\/19\/9-what-are-spvs\/?utm_source=blog_en&#038;utm_medium=organic&#038;utm_campaign=urbanitae_blog_0924&#038;utm_content=en_tipos_proyectos_equity\" target=\"_blank\" rel=\"noreferrer noopener\">SPV<\/a>\u2014is created with the contributions of both parties. Therefore, all are shareholders in this company created ad hoc to develop the project. In other words, all have equity. As partners, investors and the developer share the profits at the end of the project, once the company is dissolved. The profits generated are the<strong> capital gains<\/strong>. Hence, we talk about capital gains projects.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Income projects: capital gains or equity?<\/h2>\n\n\n\n<p>Now, since January 2023, <a href=\"https:\/\/urbanitae.com\/en\/?utm_source=blog_es&amp;utm_medium=organic&amp;utm_campaign=urbanitae_blog_0924&amp;utm_content=es_proyectos_equity_urbanitae\" target=\"_blank\" rel=\"noreferrer noopener\">Urb<\/a><a href=\"https:\/\/urbanitae.com\/en\/?utm_source=blog_en&amp;utm_medium=organic&amp;utm_campaign=urbanitae_blog_0924&amp;utm_content=en_tipos_proyectos_equity\" target=\"_blank\" rel=\"noreferrer noopener\">a<\/a><a href=\"https:\/\/urbanitae.com\/en\/?utm_source=blog_es&amp;utm_medium=organic&amp;utm_campaign=urbanitae_blog_0924&amp;utm_content=es_proyectos_equity_urbanitae\" target=\"_blank\" rel=\"noreferrer noopener\">nitae<\/a> also offers the option to invest in income projects. In this case, we are talking about investing in real estate assets leased to creditworthy tenants. The attraction for investors lies in security: these are properties, generally commercial premises, in good locations with leases indexed to the CPI and with mandatory compliance periods. The first source of profitability for the investor is, therefore, the periodic dividends that come from these rentals.<\/p>\n\n\n\n<p>But there\u2019s more. Income projects also have an equity structure. Investors become owners of the asset. Again, a specific vehicle company is created for the purchase of the asset, which will own the property until its sale. At Urbanitae, an income project has an investment period of between three and five years. And what happens afterward?<\/p>\n\n\n\n<p>In income projects,<strong> the second source of profitability for the investor<\/strong> is the sale of the asset. Once the business plan is fulfilled, the asset will be sold, an operation from which a capital gain is expected. Therefore, income projects are also capital gains projects, although the profitability they offer is lower, in line with the lower risk assumed by investors.<\/p>\n\n\n\n<p>Thus, there are two ways to invest in real estate equity with Urbanitae: income projects and capital gains projects. Each has its advantages and disadvantages, but both are good alternatives to make our savings profitable. If you haven&#8217;t done so yet, we encourage you to try it. And if you have any questions, you can contact our Investment Management team at <a href=\"mailto:contacto@urbanitae.com\" target=\"_blank\" rel=\"noreferrer noopener\">contacto@urbanitae.com<\/a> or by phone at (+34) 911 23 25 22.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>All capital gains projects are equity, and all equity projects are capital gains&#8230; but not only capital gains. Read more.<\/p>\n","protected":false},"author":1,"featured_media":49244,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[1085],"tags":[895],"class_list":["post-49258","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-urbanitae-en","tag-urbanitae-en"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What types of equity projects are there in Urbanitae?<\/title>\n<meta name=\"description\" content=\"There are two types of equity real estate projects in Urbanitae: rental projects and capital gains projects. Continue reading.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/blog.urbanitae.com\/en\/2024\/09\/06\/what-types-of-equity-projects-are-there-in-urbanitae\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What are equity projects?\" \/>\n<meta property=\"og:description\" content=\"The first thing to note is that the term equity refers to the structure of the project, that is, the equity or share capital of a company.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/blog.urbanitae.com\/en\/2024\/09\/06\/what-types-of-equity-projects-are-there-in-urbanitae\/\" \/>\n<meta property=\"og:site_name\" content=\"Urbanitae Blog | The best real estate investment news\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/urbanitae\" \/>\n<meta property=\"article:published_time\" content=\"2024-09-06T06:45:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-09-25T13:19:52+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/blog.urbanitae.com\/wp-content\/uploads\/2024\/09\/proyectos-equity-urbanitae.webp\" \/>\n\t<meta property=\"og:image:width\" content=\"1400\" \/>\n\t<meta property=\"og:image:height\" content=\"735\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/webp\" \/>\n<meta name=\"author\" content=\"Equipo Urbanitae\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@urbanitae\" \/>\n<meta name=\"twitter:site\" content=\"@urbanitae\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Equipo Urbanitae\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":[\"Article\",\"BlogPosting\"],\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/\"},\"author\":{\"name\":\"Equipo Urbanitae\",\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/#\\\/schema\\\/person\\\/e7b2d152f5654066832c53f5aa04fbf7\"},\"headline\":\"What types of equity projects are there in Urbanitae?\",\"datePublished\":\"2024-09-06T06:45:00+00:00\",\"dateModified\":\"2025-09-25T13:19:52+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/\"},\"wordCount\":609,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/blog.urbanitae.com\\\/wp-content\\\/uploads\\\/2024\\\/09\\\/proyectos-equity-urbanitae.webp\",\"keywords\":[\"Urbanitae\"],\"articleSection\":[\"Urbanitae\"],\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/#respond\"]}]},{\"@type\":[\"WebPage\",\"ItemPage\"],\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/\",\"url\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/\",\"name\":\"What types of equity projects are there in Urbanitae?\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/blog.urbanitae.com\\\/en\\\/2024\\\/09\\\/06\\\/what-types-of-equity-projects-are-there-in-urbanitae\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/blog.urbanitae.com\\\/wp-content\\\/uploads\\\/2024\\\/09\\\/proyectos-equity-urbanitae.webp\",\"datePublished\":\"2024-09-06T06:45:00+00:00\",\"dateModified\":\"2025-09-25T13:19:52+00:00\",\"description\":\"There are two types of equity real estate projects in Urbanitae: rental projects and capital gains projects. 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