Crowdfunding successfully repaid: Mallorca Calle Falla
Especially when it comes to crowdfunding on Mallorca , investors naturally want to know how many projects an initiator has already successfully repaid. Unfortunately, there isn’t that much positive to report:
If you do more research, you will quickly find that most platforms no longer list successful projects. Probably because there is so little positive to report.
At CPH Invest, we take a different approach. On our website we show projects that we have already successfully repaid.
Of course, the real estate market on Mallorca ticks differently than in Germany. The big German providers are therefore finding it difficult to offer anything sensible here.
That sounds surprising at first. But we at CPH Invest have known Mallorca for over 30 years and know how to make real money with Mallorca real estate .
The personal relationship with our investors is very important. That’s why we tailor our investments. What that means?
You give us the parameters of the investment : capital amount, term and desired project. We attach great importance to personal advice and together we will find the right project for you. If you subscribe to our newsletter, you will always receive advance information about our latest projects on Mallorca.
Here I would like to show a project that we financed in Cala Pi in the municipality of Llucmajor on Mallorca. We financed half of the property with a loan. We financed the construction with a mixture of equity and bank financing . This traditionally delivers the greatest returns. However, we finance many other projects completely without a bank, because real estate financing through banks in Spain is not always the best solution.
This was a privately placed crowdfunding campaign . If you are also interested in a private placement, register for our newsletter.
The successful repayment in detail
- 8 units were financed.
- Model 2: NRD.
- Yield 19.5%
- Financing target EUR 200,000 per unit.
- each investor got a plot of land as security.
- Status: Refunded successfully.
How were we able to achieve this high return?
What makes crowdfunding on Mallorca so exciting ? In our campaign, we aimed for short-term bridge financing right from the start. The agreed base interest rate was 6.5%. Even though we had agreed on a maximum term of 24 months, it was clear from the start that we only wanted to use the loan for a short period of time. And we were able to keep the loan extremely short: the loan was taken out in November 2018 and the early repayment was made in March 2019. Despite the short term, we paid our investors the full coupon of 6.5%, which corresponds to an effective interest rate of 19.5%.
Are you interested in investing in real estate?
Are you interested in participating in a privately placed crowdfunding campaign? Then contact us using the form below.