Earn Like a Developer Without Laying a Brick

 Instead of collecting rent, you’re helping to fund a boutique luxury residential cluster development and that means your returns are linked to how well the project performs. 

Here’s a simple breakdown.

Two Parts: Debt + Equity

R5.1m Investment will be in the form of a loan to the developers. This will be invested into the development, made up as follows:

• R4.5m will go towards the purchase of the land
  
  
• R600k will be used for site preparation, walls, complex roads etc

Returns

• We will earn 12% interest on R2.25 million. This part works like a bank bond. The developer borrows the money and repays it over time at 12% interest, just like a 10-year home loan.
  
  
• The balance (R2.85m) is interest free and will be invested in order to receive returns that are generated from the development once it is sold.
  
  
• A R1 275 000 facilitation fee will be paid to the company from the profits from the development.

Payment milestones               

• The first loan portion (R2.25m) plus interest will be paid after the second stand transfers
  
  
• The second loan portion (R2.8m)will be paid back after the third stand transfers
  
  
• The fee for facilitating the loan will be paid after the 4th stand transfers
  

Anticipated dividend distributions:

At each of these milestones, a payout in the form of a dividend distribution will be made, relevant to your investment size and the portion of the payout.

Read the investment case here.

Your Total Projected Return

 This project offers a projected XIRR of 15.28%.

It's  not about waiting 5+ years for capital growth. This is about capturing the potential uplift in value between the land purchase, construction and the finished product — just like developers do.

The Developer Play, Simplified

• Developers build at cost
  
  
• They sell at market
  
  
• The margin is theirs, unless you’re in on it too

This IPO gives you access to that margin. And it’s all powered by one small but powerful title: Development Financier.

Ready to finance a development with us?
If you’re ready to help fund a high-end build, make your first, or next, property investment with any amount you've got today.

Explore the 164 on Eccleston IPO here.

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