Project code name : “ ACE“

Real Estate
EUR 160M assets value
EUR 20M Debt Financing (Yield=6%/year)
Europe

Real Estate Development


Detailed Investment Project Analysis available against signature of an electronic NDA Request more details

The project code name “ACE” is a unique opportunity to partner with a family having developed since 1996 a premium Real Estate portfolio composed of mainly Chalets/hotel residence valued at around EUR 160M.

The developers are now willing to raise minimum EUR 20M via a bond in order to acquire and develop new Real Estate programs in the French Alpes, Switzerland and Italy.

Proposed Bond summary (to be discussed):

  • EUR 20M Private Debt Financing
  • Minimum ticket = EUR 1M
  • Debt maturity = 2025
  • Yield = 6% / year
  • Guarantee = Pledge of the shares of the holding company that owns 49.5% of a Real Estate assets portfolio composed of 5 hotels valued at EUR 160M

The deal can be structured in Switzerland or France.

Key Investment Considerations:

I. Project Attractiveness

1. Value of the Guarantee = EUR 80M (4 times the financing need of EUR 20M)

2. Holding Company total debt = EUR 6M (Less than 4% of total assets estimated value)

3. Experienced and solid management team with proven track-record since 1996

II. Attractive Market and Economic Outlook

1. France and Switzerland = the biggest ski resorts in the world after the U.S

2. 40% of the tourism in France is provided by ski resorts

3. Real Estate prices have been increasing for decades; +2.2% for Les Arcs and +3.4% for Val-Thorens in 2017

III. Numerous Projects in the Pipeline (see below some examples)

1. 4 individual chalets in the Swiss Alps: Funds required = EUR 5M

2. 2 buildings with around 40 apartments in Montreux (Switzerland): Funds required = EUR 4M

3. Chalet/Hotel in Megève (French Alps): Funds required = EUR 25M