A conservative investment backed by real estate is always a good idea, don't you think? We have prepared a club project of rental housing of 12 apartments and 6 non-residential spaces, a total of almost 1000 m2 in two buildings C and D. It is being built within the framework of another club project: bytyklicanka.cz. We buy the built houses, occupy them with tenants and then sell them with the company that rents the buildings. All this within two to three years. And because we buy at a discount and sell at the usual price, it is a relatively secure deal. The rental income is a nice bonus. The investment is private, for Venture Club members.
Addendum to 5/29/2020: investment completed - we have sold the project. Investors received a 24% return, they split the proceeds of CZK 3 million.
An interesting project presented in November 2018 with a simple rationale: buy a new property, occupy it with tenants and sell it after the financial year with proven economics to someone who wants to run it. And we buy at a discount this year, paying extra in mid-2019 after completion. After the 2020 expiration, we sell at market price. We were expecting tens of percent appreciation in a two-year investment. A conservative - real estate-backed - investment, with a direct stake in the outcome, with no capped return. In the end, however, we had to change the concept - the planned amount of funds was not collected, so we sold the contract to buy the property. The average appreciation on a one to one and a half year investment was 24%, before taxes, less the club's commission. The investment closed successfully.
