APARTMENT BUILDINGS AFTER RECONSTRUCTION
“As an investor, we financed the restructuring and reconstruction of three older apartment buildings. The project was then sold at the beginning of 2018 with an average annual return of over 15%.”
Marek Klaus, partner at ICP Group
ICP Group financed its partner in the purchase of three apartment buildings in Olomouc and Jabkenice. The project consisted of acquiring real estate from an auction in 2015, followed by refinancing and conversion into 97 housing units.
This strategy enabled the gradual sale of flats to both current and new tenants. Cooperative housing allows tenants to own a share in real estate, while paying similar installments as the original rent. In addition, cooperatives are motivated to repay the shares and transfer the housing unit to personal ownership.
“As the remaining housing cooperative shares were sold to investors with a long investment horizon in the first quarter of 2018, it was a very successful pilot project,” adds Marek Klaus.