SUMMARY OF THE FUNCTIONING OF THE "INVESTMENT SLOVAKIA" PLATFORM IN 2020

Date
31.12.2020
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Editorial Invest in Slovakia

New The year 2021 is around the corner and so it is time to take stock. It is us a look back to 2020, where we will summarize what we have brought you, what we've been through and where we want to go. The article includes statistics, investment opportunities and project updates.

Investment Slovakia - crowdfunding platform in numbers

In October, we celebrated our 1st birthday as a newly launched platform that brings real estate investment opportunities to small investors. To date, we have registered in the INVESTORS CLUB 2 472 members. The positive thing is that we are still growing.

The platform offered members of the INVESTORS CLUB for 2020 four investment opportunitiesthat have undergone thorough due diligence and have found their supporters.

In total, the following were collected EUR 1 038 697.

As of 31 December, the platform has paid out revenues from four projects in the amount of EUR 60 767,45.

The start of the new year was challenging and we made some changes in the company, project managers were given an important task - to focus on profitable projects, which helped us to set a precise work plan and send to the trash a number of ineffective projects that had been on the table for a long time. Thus, we managed to "put the first project out there" only in March. Despite the beginning of the coronacrisis, we in the INVESTORS CLUB published the first project of the year and believed in its success.

JIŘÍHO WOLKER RESIDENCY - Poprad

Fundraising has been running since March 20. The intention of the developer CP MERCURIUS TRADE, s.r.o. was to buy and renovate an older family house in the wider centre of Poprad, subsequently to carry out the redevelopment and to start the construction of 11 separate residential units with 17x parking spaces.

Members of the INVESTORS CLUB had the opportunity to participate in this investment project with maximum an amount of EUR 300 000 and thus obtain a fair return of 14,07% p.a.

We are giving more and more assurances to developers that we can co-finance investment projects, even in the substandard times caused by the coronavirus. And once again, investors have shown why they are investors. It is the non-standard and unexpected market situations that give great opportunities to invest with interesting returns.

During the campaign we had to solve technical problems that delayed the end of the campaign and so the project ran for almost a whole month (usually a campaign runs for 21 days max). We reinforced the IT department to fix the problem as soon as possible and by staying up late every day they managed to do so.

From that point on, we focused on the new platform and started working on it intensively. We realised that if we wanted to do projects worth e.g. EUR 3 million a year, the system had to work without limitations and on a single unit.

But let's go to the statistics achieved by the 1st project of 2020 - Jiří Wolker Residence:

STATISTICS:

  • Total investment EUR 278 161.
  • Minimum investment 100 EUR.
  • Maximum investment EUR 27 000.
  • The project involved 171 investors.
  • The fixed return from this project was 14,07% p.a.
  • The investment period was 24 months.

UPDATE:

  • 29.4. 2020 a winkulated account has been set up in the bank ČSOB on the basis of which the bank will release the invested money to the developer only if he is registered in the land register as the owner of the land with the property in question.
  • 25.5. 2020 the main investor of CP MERCURIUS TRADE, s.r.o. fulfilled the condition for financing the investment project through the INVESTORS CLUB. He submitted the original extract from the ownership certificate LV 1922, k.ú. Poprad (848174), municipality of Poprad and a pledge has been established on 100% share of CP MERCURIUS TRADE, s.r.o.
  • 23.9.2020 the main investor CP MERCURIUS TRADE, s.r.o. received a written opinion on the project of Jiří Wolker Residence. The town of Poprad agrees with the intention of reconstruction, additions and superstructure of the original family house, file no. 463/6 in terraced housing and subsequent change to a multifunctional building. It also stated that the proposed building is not in conflict with the currently valid Poprad town plan.

PARK LESNÁ*** - 2nd phase - Nová Lesná

In the High Tatras, in the village of Nová Lesná, the company European investment opportunity, a.s., has moved to the 2nd phase of the project Park Lesná*** . It is a construction of family houses TALL & GRAN in the High Tatras with unique architecture and unique views. Fundraising has been going on since July 1st.

The architects gave clear contours to the project, laid out the plots. On the basis of their work, visualizations were created that best captured all the non-standard architectural elements used in this real estate project.

INVESTORS CLUB members had the opportunity to participate in this investment project in Phase 2 with a maximum total of 330 000 EUR and thus obtain a fair return from this project in the amount of 12,18% p.a. 

STATISTICS

  • Total investment 318 126 EUR.
  • Minimum investment 100 EUR.
  • Maximum investment EUR 25 000.
  • The project involved 146 investors.
  • The fixed return from this project was 12,18% p.a.
  • Return interval for the investor Quarterly.
  • The investment period was 36 months.

Again a fantastic result! Thank you to all participating investors!

UPDATE:

  • 6.8. 2020 a winkulated account has been set up in the bank ČSOB on the basis of which the bank will release the invested money to the developer only if he is registered in the land register as the owner of the land with the property in question.
  • 21.8. 2020 the main investor European investment opportunities, a.s. fulfilled the condition for financing the investment plan through the INVESTORS CLUB. He submitted the original extract from the ownership certificate LV No. 914, k.ú. Nová Lesná (841820), municipality of Nová Lesna, where he became the owner of the property.

GREEN PROJECT - Family houses, Prešov, On the Pipes

Another project was the construction of low-energy family houses in the "Green project" concept at a lucrative address near the centre of Prešov. The fundraising started on 28 October and lasted only 5 working days. It was the first ever in the history of the platform shortest campaign, where even more money was collected than the original amount, as more funds were credited to investors' accounts.

Members of the INVESTORS CLUB had the opportunity to participate in this investment project with the amount of EUR 200 000, and thus obtain a fixed return from this project in the amount of 14,37% p.a. 

STATISTICS

  • Total investment EUR 210 998.
  • Minimum investment 100 EUR.
  • Maximum investment EUR 30 015.
  • The project involved 107 investors.
  • The fixed return from this project was 14,37% p.a.
  • Return interval for the investor Quarterly.
  • The investment period was 24 months.

UPDATE:

  • 5.11. 2020 a winkulated account has been set up in the bank ČSOB, on the basis of which the bank will release the invested money to the developer only if he is registered in the land register as the owner of the land with the property in question.
  • 21.12. 2020 the main investor Ci development group, s.r.o. fulfilled the condition for financing the investment project through the INVESTORS CLUB. He submitted the original extract from the ownership certificate LV No. 4511, k.ú. Prešov (849502), municipality of Prešov, where he became the owner of the property.

Residential house, Zvolen, Sokol

The last project of the year 2020 was an apartment house in the 3rd oldest town in Slovakia, in Zvolen. The campaign lasted only 11 days as the Christmas holidays were approaching.

This time the main investor gave investors the opportunity to participate in the last project of the year with the amount of 230.000 euros, with a fair return 13,81% p.a. a with the investment period 18 months.

STATISTICS

  • Total investment EUR 231 412.
  • Minimum investment 100 EUR.
  • Maximum investment EUR 20 395.
  • The project involved 158 investors.
  • The fixed return from this project was 13,81% p.a.
  • Disbursement of proceeds to the investor Quarterly.
  • The investment period was 18 months.

UPDATE:

  • 22.12. 2020 a winkulated account has been set up in the bank ČSOB, on the basis of which the bank will release the invested money to the developer only if he is registered in the land register as the owner of the land with the property in question.

What are our plans and what can you look forward to?

As we mentioned above, since March this year our IT department has been working on the development of a new platform, which will change both the branding and the domain.

European Union: We do not hide the fact that we are preparing a portal and INVESTORS CLUB for all residents of the European Union. We would like to spread awareness about us, our projects and our brand. Anyone from abroad who wants to, can participate in investment opportunities from which the money collected will flow to the Slovak Republic.

Location: Our goal is to "spread out" across the country. This is not easy, as it takes several months to thoroughly prepare an investment project. But our ambition is to look from the west to the east of our country.

Developers: We fully understand that every single developer or major investor protects its know-how, practices and strategies on how it builds its investment projects. Therefore, we believe that by being more open with you - whether or not the projects are going as expected or going better than anticipated, the trust between both parties, investor vs. developer, will increase. In addition, we want to run some projects under the supervision of our parent company to give us more control over the projects and to provide you with the most accurate information possible.

Thank you all for your trust and investment in 2020. Thank you for your suggestions that make us think in the right direction. Thank you for supporting and contributing to our projects, each to the best of your ability.

We wish you every success, happiness, health and love in 2021.

About the author
Editorial Invest in Slovakia
The Invest in Slovakia crowdfunding platform facilitates investments in Slovak real estate projects to investors from all over Europe. It focuses on innovative solutions with benefits for the surrounding area. The long-term effort of the team of specialists is the development of financial literacy. It provides clients with access to thoroughly vetted assets with different appreciation strategies.

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NBS. On the basis of Regulation (EU) 2020/1503 of the European Parliament and of the Council of 7 October 2020 on European crowdfunding service providers for business and amending Regulation (EU) 2017/1129 and Directive (EU) 2019/1937 (the "Regulation on European crowdfunding service providers for business"), crowdfunding will become a legally regulated activity. From the nature of the Regulation in question, it is expected that the authority authorising and supervising the activities of crowdfunding service providers within the Slovak Republic will be the Ministry of Finance of the Slovak Republic or the National Bank of Slovakia. As a provider of crowdfunding services, we welcome this effort of the European Parliament and we are ready to actively participate in the implementation of the Regulation in order to clarify and set uniform rules for crowdfunding within Slovakia as well as throughout the European Union.
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