TerraKapital, the Cyprus registered company targeting to achieve above-average returns of over 20% per annum by investing in property assets in the Eastern Mediterranean and South-East Europe, aims to raise up to €15 million from private investors.
TerraKapital targeting to achieve above-average returns of over 20% per annum by investing in property assets in the Eastern Mediterranean and South-East Europe, aims to raise up to €15 million from private investors. The offer is for the issue of redeemable preference shares at €1 per share beginning on February 14 and ending on March 14, with the fund manager having the discretion to extend the closing date to April 14. This is a private offering and current initial commitments exceed €5 million, with a minimum subscription of €100.000 per investor. Marios St. Joannides, CEO of TerraCapital Management, the investment managers of the company, told the Financial Mirror in an exclusive interview that the immediate focus is on Romania, where there are several fundamental opportunities for good returns.
Bucharest is especially seen to have exceptional growth prospects over the next seven years, a growing city doubling in population, a growing middle class, billions of euros in infrastructure investments from the EU and current property prices in the prime northern suburbs being well within fundamental economic ratios. “The land cost per built meter of our anchor investment is €60/ square meter, compared to over €1000/sq.m. in the suburbs of Nicosia. Of course the location and quick sale potential are crucial and it doesn’t mean that any piece of land has potential. One needs careful selection and the appropriate financial size, focused professional resources and the right partners and associates with expertise to make sound investments. Hence, the economies of scale, diversification, organizational structure and better terms of business to be achieved through TerraKapital,” Joannides said. (read more)