PropFund Germany
property fund - property investment - property for sale - homes sale

As a shareholder in this property fund in Germany, you will benefit from a yearly dividend distribution between 7.0% and 10.0% through renting a German property fund portfolio of residential and commercial property. Furthermore, you will receive your share when the PropFund company will sell the developments of the portfolio after the 10 year investment period.

New constructions can not keep up with the increasing rental demand which is already outstripping the supply and is set to increase in Germany. Therefore, the Propfund Company is an excellent niche-market investment offering a steady and secure cash flow to the shareholders from profiting from renting out a wide range of real estate.

Through our experienced German property investment fund team, the PropFund Company will acquire residential and commercial property far below market value through compulsory auctions. After small repairs, the PropFund limited partnership will manage and rent these buildings to tenants for the duration of the investment period.

The minimum annual dividend that the investor will receive is 7.0% (once the fund is placed), which will increase annually to an expected 10.0% in 2020. However, your annual dividend will vary depending on the market conditions.

In addition to the annual dividend, the investor will receive a share of the capital appreciation from the sale of the portfolio in 2020. The sales price is expected to be very elevated due to the small acquisition price, repairs made and the potential growth of the German property market.

According to one of Germany´s most renowned newspapers, Frankfurter Allgemeine Zeitung, FAZ, Germany´s real estate market is on the upswing: “In the opinion of real estate investors, Germany will be in 2008 the top-investment spot in comparison within Europe: 90 percent of the investors think that Germany is a very robust and attractive property market.” (Source: FAZ, 3 of March, 2008)

Germany is an attractive and secure location for your property investment fund as it is Europe’s leading economy, has the highest productivity rate in the world plus excellent infrastructure and legal framework. The PropFund company will source property in German cities with at least 50,000 inhabitants to make sure that a strong rental market is in place, ready to move in, in one of the property of the PropFund portfolio.

Since the PropFund is a blind-pool, the portfolio will not exist until the actual placement of the fund, which will probably be in 1010. However, it is likely to be in many mayor cities in Germany, including Berlin, Dresden, Frankfurt, Hamburg and Munich. All these cities are, economically speaking, of high global importance.

Frankfurt, for example, houses Germany´s largest companies, such as Lufthansa and Deutsche Bank with their headquarters in this city. The airport of the city is the biggest one in Europe and even the eight largest of the world. Hamburg, for example, is another strong European area with Europe´s second largest seaport and high level of traffic volume, which is the 9th highest shipping volume in the world.

Consequently, the standard of living in mayor German cities is very high and the long term renting of the PropFund, deriving from local tenants, is assured.