A structured real estate investment available exclusively to IPIN Global members that generates 16%+ annualised returns with deposit protection.
Secure Exit Strategy™ (SES): Key features
- Deposit protection - deposit protected investment, invest with peace of mind knowing your deposit is inaccessible to the developer, in an independent escrow facility until a property deposit bond is presented that protects 100% of your investment
- 16%+ annualised returns - relax knowing your SES investment returns are contractual and protected by a corporate guarantee
- Defined exit strategy - be confident the developer is contractually obliged to resell all SES units as a priority and for a pre-agreed premium that increases with time at the developer's cost
- Hedge against slow rate of sale and market decline - don't panic if the market stagnates. The developer must resell or repurchase your investment within a maximum 36 month period and assume any difference between purchase and resale price. With the SES your profit margin is always maintained
- Low capital outlay - don't feel out of your depth. You are only required to commit between 10 and 30% of the actual unit value depending upon the SES application
- Minimal associated risks - SES investors are not typically required to “close” on their unit, hence avoiding traditional costs and risks associated with such a purchase or the need to invest additional capital
Secure Exit Strategy™ (SES): Introduction
Benefit from a structured real estate investment designed to leverage the current liquidity crisis and deliver considerable returns with no ongoing outlay or risks associated with real estate ownership.
The Secure Exit Strategy™ permits selected real estate developers to generate equity and unlock vital construction finance in return for exceptional investment conditions for the IPIN investor.
The strategy has been applied to projects of varying sizes since 2004 under a mixture of market conditions including high profile projects in the US and across the UK and provides investors with a secure, deposit protected investment.
Understanding Construction Finance
Owing to the recent global liquidity crisis, funds for real estate construction projects from traditional lenders have become increasingly difficult to source. High levels of pre-determined sales volumes and developer equity are required in order to reduce the lender's credit risk. However, securing off-plan sales from end users is often difficult as most are unaccustomed to purchasing property so early on in the construction cycle (this issue is compounded during periods when many projects are not coming to fruition, as even seasoned off-plan investors are choosing to wait until the project is at least in construction to reduce risk).
This chicken and egg situation (finance is required for the project but sales of the project are required to secure finance) has greatly empowered alternative finance facilitation sources.
The SES provides equity and pre-sale agreements for developers, allowing them to unlock necessary construction finance from traditional lenders and hence proceed with their project. It generates equity returns only usually enjoyed by developers whilst assuming low risk exposure typically only offered to banks.
Generate pre-agreed annualised returns of 16%+ with complete deposit protection