CHELSEA PHASE A - 8% RETURN P.A.

Investment Summary

• OVERVIEW – This investment provides investors access to the first phase of development finance for a well-situated apartment in a prestigious mansion block in Chelsea.
• PROPERTY – The apartment consists of two bedrooms and two reception rooms that are located on the first floor of the building. The borrower plans to refurbish the property to a high specification whilst also altering the layout to optimise on space. 
• DEVELOPER – The developer has a wealth of experience with similar properties and projects. Their portfolio from the past 10 years boasts several prime central London homes all refurbished to a high specification and sold with an average profit of 21%.
• PLAN – The developer recently acquired the property and plans to commence the refurbishment shortly. This will include enlarging the master bedroom and en-suite bathroom as well as converting the existing dining room into a third bedroom.

• SECURITY – Investors will benefit from a first legal charge over the property. CapitalRise has also secured an additional second legal charge on a property owned by the developer that is also located in Chelsea. This has recently been refurbished and is on the market.
• EXIT PLAN – The refurbishment of the property is scheduled to complete within 6 months from commencement of the works. This provides a sales period of 6 to 8 months. Any sale of the additional security property within the investment term would lead to a partial repayment of the loan.
• VALUATION – Strutt and Parker has provided an independent red book valuation of £2.825m once the refurbishment of Property 1 has been completed. The current market value for the property is £1.9m.