- Experienced Lithuanian-owned real estate group: The project company belongs to Trinapolis, a Lithuanian-owned real estate development group that has been operating in the sector since 2005 and has more than 20 years of experience. The group has completed residential, commercial and conversion projects and has experience across the entire real estate development cycle – from project management to property sales.
- Significant equity contribution: The developer has invested approximately 39% of its own funds in the project, meaning that a significant share of the project is financed with the developer’s own capital.
- Construction progress: The building is approximately 30% complete – part of the structural and construction works has already been completed, while the financing will be used for the remaining works and the completion of 18 apartments and common areas.
About the Project:
The project company, which belongs to the Lithuanian-owned Trinapolis group of companies, is developing an 18-apartment residential building project in Alcúdia de Crespins, Valencia Province, Spain, with a total area of 2 370 m².
The project involves completing the construction of unfinished apartments and the associated common areas in accordance with a valid building permit. Construction of the building began in 2009 but was subsequently suspended. Currently, the construction completion level is approximately 30%. The financing will be used to carry out the remaining construction works, install engineering systems, complete finishing works and fully complete the project. The total project implementation period is planned to be 24 months. During this period, the remaining construction works are expected to be completed, the documentation required for project completion finalised, and the apartments sold.
The total projected sales revenue of the project is 3 556 380 EUR. The project developer has invested approximately 39% of its own funds in the project.
A significant equity contribution reduces the project’s financial leverage and provides an additional buffer against potential changes in construction costs or market conditions.
Loan Information:
The loan will be repaid from the proceeds of apartment sales, while interest will be paid from the company’s operating income.
The project loan agreement has been concluded for a period of 24 months. Funds for the project may be raised in stages, and the duration of this financing stage is 12 months.
The maximum planned project financing amount is 1 500 000 EUR. The project will be financed based on the current valuation of the mortgaged property until the established maximum loan-to-value (LTV) ratio is reached. Please note that once the maximum LTV is reached, the project will be financed based on the LTC ratio. The LTC ratio (Loan-to-Cost) indicates the ratio between the loan amount and the total project costs. Project financing will be provided based on submitted construction work acceptance certificates, with funds transferred to the general contractor’s account, without exceeding the maximum LTC ratio and the maximum loan amount. A new property valuation will not be carried out between financing stages. The financing decision will be based on an approved construction work acceptance certificate issued by the Construction Technical Supervisor and evidence confirming payment of the Client’s equity contribution.
Please note that before the mortgage agreement is signed, the loan amount will be transferred to the notary’s escrow account. The notary will release the loan amount after the mortgage agreement has been signed and first-ranking mortgage rights have been obtained. Registration of the mortgage after the funds have been disbursed may take up to several weeks. Interest for investors will begin to accrue from the date the mortgage agreement is signed, in accordance with standard Spanish market practice.
The target amount is planned to be raised within 7 days, with the possibility of extending the fundraising period up to 30 days if the full amount is not raised within the initial period.
About the Profitus
Profitus is a crowdfunding and investment platform with a minimum investment of 100 euros. Profitus investments are secured by real estate mortgages, Your investment is secured by a first or second mortgage on the property, as well as by other collateral (e.g. a surety or guarantee). Transactions are managed through Lemonway, a regulated payment service provider.
Profitus is a crowdfunding and investment platform whose main goal is to make investment available to everyone. Investments start at 100 euros, and the platform is open 24/7. Investments are secured by pledging real estate and other collateral (e.g., indemnity or warranty). Different projects have different security tools that users can access in self-service for each project.
Profitus consults with the Bank of Lithuania in order to ensure perfect compliance with the law. Profitus operates with Lemonway, a regulated payment service provider.
