Budapest, one of the most beautiful cities of Europe.

Fillér Utca 53

Budapest, Hungary

47.513689 | 19.016433

The plot is located at Fillér Utca 53, very central in the affluent, green 2nd district of Budapest. It is a beautiful and luxurious district in the hills of the city, on the west bank of the Danube, where newly built locations are very scarce and the demand for owner-occupied apartments is high.

With a tram and bus stop in front of the door, public transport connections are excellent. The center of the Buda district, Kálmán Széll Square with the ‘Mammut’ shopping center, can be reached in about 1.5 minutes by car.

The residence of the English ambassador is located diagonally opposite the plot.

After a lengthy pre-development process, Whitestone has aligned the 4 current owners and the plot was contracted in November 2016. The transfer of ownership is planned after the demolition of the dilapidated city villa and the division of the existing plot into 2 sites. According to the plan, the current owner will deliver the land free of buildings by the beginning of 2017 at the latest. The subsequent construction of 23 luxury apartments (2,401 m² plus approx. 700 m² outdoor space) can start in the summer of 2017. The development provides a modern design for 23 luxury newly constructed owner-occupied apartments. It is expected that during or soon after the construction period the 23 apartments will be sold at an average price of HUF 924,000 m² (€ 2,981 m²). The sales prices of newly built apartments in the 2nd district varies from € 2,500 – 3,500 per m².

With the sale of all apartments and associated parking facilities, a return of 19% per year (ROI) is forecasted for investors after an expected term of 30 months. The equity for the land and associated (transfer) costs is € 2,250,000.

In support of the proposition, the initiators Whitestone and REALIANCE will jointly contribute 11% (€ 250,000) of equity. Therefore, the equity placement in Fillér 53 B.V. amounts € 2,000,000. Participation in the capital of the B.V. is possible from € 50,000.

Key data

Project name
Fillér 53 (FULLY FUNDED)

Location
Fillér utca 53, Budapest, Hungary

Initiator
REALIANCE Europe B.V.

Local partner
Whitestone Investment

Category
Nieuwbouw van 23 luxe koopappartementen

Expected investment term
30 months, completion summer 2019

Exit strategy
Sale to end users/ investors

Participation
80 shares of € 25.000 available (preferably at least 2 shares)

Structure
Issue of shares in Fillér 53 B.V., which holds 60% of the shares in the Hungarian project company (Kft.)

Equity investors:
€ 2,000,000 (89%)

Equity initiators
€ 250,000 (11%)

Projected capital growth
47% after 30 months

Projected net return (ROI)
19% per year

Unique selling points

The housing market in Budapest has been on the rise since 2015 with continued price increases.

Newly built apartments in modern and beautiful architecture in a prime location in the Hungarian capital Budapest.

Very central and yet ‘green’ location with excellent public transport connections and a shopping center in the immediate vicinity.

Favorable financing options for buyers with historically low interest rates.

Hardly any new housing inventory in the last seven years; pent-up demand exceeds supply.

Responding to the momentum in the housing market VAT rate from 27% to 5% for newly constructed homes, also in the coming years.

Investment side by side with experienced Hungarian developer who has a proven track record.

Inspelen op momentum in de woningmarkt. BTW- verlaging van 27% naar 5% voor nieuwbouwwoningen.

Investering zij aan zij met ervaren Hongaarse ontwikkelaar die een bewezen trackrecord heeft.

Location

For more information you can reach REALIANCE at +31 (0) 20 21 03 180 or invest@realiance.nl