Alcobaça Hotel

FLEX CONTRACT  - New type of contract that has a duration of 12 months, that can be expanded up to 6 more months. For more information check out our blog.

THE OPPORTUNITY

Type of opportunity: Loan

Modality: Development Loan1 with Flex Contract2

Profitability: 8.75%3 in 12 months

The first stage of a project of 235.000 euros4 (a total of two phases are foreseen).

We present Alcobaça Hotel, a new development loan1 project, which consists of granting a loan to a project developer for the the renovation of a hotel and its infrastructure in Alcobaça, Portugal.

REASONS TO INVEST IN ALCOBAÇA HOTEL

- Strategic location;

- The remodeling and adaptation of the spaces will take 2 months;

- The hotel is already built;

- The  scoring of this opportunity is BBB. For more information click here.

LOCATION

The project is located in Alcobaça, a municipality in the province of Leiria, in Portugal.

Highlights of the location:

- The Hotel Solar da Cerca do Mosteiro is in the historical centre of the city of Alcobaça, next to the Monastery, a UNESCO World Heritage Site. It is one of the most important examples of Cistercian architecture in Europe. Thanks to its architectural beauty and artistic value it attracts many tourists every year;

- Alcobaça has about 12 kilometres of coastline, resulting in numerous beaches located between large cliffs and beautiful pine forests. In the south is São Martinho do Porto, a natural bay surrounded by two rocky promontories;

- The city is located 92 km north of Lisbon and 88 km southwest of Coimbra.

THE PROJECT

The opportunity foresees on one hand to renovate and condition the 10 existing rooms and on the other hand to increase the capacity of the hotel by adding 10 new rooms. In addition, the development company will proceed with create a new event room/restaurant in the gardens of the property (for 200 people). A structure made of aluminium, wood and glass.

Due to the rapid growth of the demand for accommodation, as well as the organization of events (weddings, baptisms and other celebrations), the hotel decided to proceed with the remodeling and expansion of its facilities, thus allowing it to double its capacity.

THE PROJECT DEVELOPER

The promoting company SOLAR DA CERCA DO MOSTEIRO, LDA handles the organization and management of events, hotel activities and service administration. The company, active for 5 years, focuses its activities on the rural tourism sector.

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Risks information: Housers is neither a credit institution nor an investment services firm. Investment in projects published by HOUSERS is not covered by any investment fund. This project has not been supervised by the CNMV nor by the Bank of Spain or any other regulator, Spanish or foreign. The information provided by the developer has not been checked by the CNMV nor does it constitute a prospectus approved by the CNMV. Housers does not provide financial advice that nothing on this website should be construed as such. The investment in this project involves the following risks: risk of total or partial loss of invested capital, the risk of not obtaining the expected monetary return and the risk of illiquidity for recover the investment. The project developer Solar da Cerca do Mosteiro, LDA accumulates 0 projects in the platform, which does not result in an additional concentration risk. The investor must be aware that Solar da Cerca do Mosteiro LDA may in the future apply for other loans through the platform in order to obtain financing for other projects, within the legal limits and provided that its financial situation allows it. Thus, the company's future leverage may be higher. The project developer is responsible for the information it has provided to the participatory finance platform for the project on the website. The promoter Solar da Cerca do Mosteiro LDA has a share capital as of 31/12/2019 of 100,000€ and equity at 31/12/2019 of 90,021.13€ so that its finantial responsibility regarding the project is limited to this amount. Housers' commission is financed within the project. Therefore, it is the investor who supports the Housers' commission. Both the funding objective and the maximum term to invest in this opportunity may be extended by an additional 25% to the initial term, in accordance with the Law for the Promotion of Business Financing. Likewise, HOUSERS may consider the financing of this opportunity/project closed when it has been 90% financed. This options provided to Housers by the legislation will be used when the typology and the characteristics of the project suggest it, so that the financing can be lower than the required and the deadline is not affected.

1) Development Loan: 12-month fixed rate loan to the real estate developer where interest is distributed monthly and the principal is amortized at the end of the project. The interest is not guaranteed, but the developer presents an additional guarantee.

2) Flex Contract: The Promoting Company may activate an extension of a single duration of 6 months to the expiration date of the contract, communicating it to Housers at least one month in advance. This extension will be accompanied by an increase on the interest rate agreed on the return of capital, resulting in this project, an annual interest of 9,5% during the extension. This information is found in more detail in Article 3.3.1 of the Loan Agreement..

3) It is the total return on investment. It takes into account the total term of 12 months and the annual fixed interest agreed by the promoter. For more details see the Promoter's Report.

4) According to article 68.2 of Law 5/2015 for the Promotion of business financing, "The maximum amount of fundraising per participatory financing project through each of the participatory financing platforms may not exceed 2,000. 000 euros, being possible the realization of successive rounds of financing that do not exceed the aforementioned amount in annual calculation. When the projects are directed exclusively to accredited investors, the previous maximum amount may reach 5,000,000 euros".

Location