WVGH is currently arranging the acquisition of the new fund DW3. Just like in DW1 and DW2, this DW3 portfolio (DW3=Deutschland Wohnungen 3, or Germany Residences 3) will comprise apartment buildings in Nordrhein Westfalen. The annual interest payment will be kept at 8% and the properties in this portfolio will also be acquired without bank financing:
The DW3 investors will have the right to the first mortgage.
Due to the unexpectedly high interest by investors in DW1 and DW2, both funds were fully booked in a very short time. The high interest payment and the first-mortgage security that the investors receive definitely explain the increased interest in the funds.
Due to the overbooking of both funds we were unfortunately not able to give everyone interested the chance to benefit from the advantages of this new project without bank financing.
We are acquiring the apartment buildings in those West-German cities for relatively low prices. New construction in the city locations we have chosen is more expensive than already existing buildings. In general, the rent prices of our apartments are under the average rent prices for the region. The apartment buildings that we acquire for the DW funds will be rented out to the middle class.
Our own property managers (WVGH team members) are currently carefully inspecting the properties and we expect to be able to close the transaction deal soon.
Our property managers will also take care of the complete maintenance for the following 5 to 10 years.
Due to the economy problems during the past half year, the purchase prices in the real estate sector have been put under pressure. In case the current economic recession continues for a longer period, we will charge the rent- and evaluation risk for the apartments on a lower rate than the one of office buildings and shops.
Given the acquisition preparations for DW3, you may already be interested in the fund and can reserve bonds in order to participate.
Bond reservations offer you a temporary advantage to register for the fund. By reserving your bonds you increase the chance to receive an adjudication on your registration. Reservations do not oblige you to register afterwards.
Our expectation is to start the registration for the DW3 bonds in the upcoming month.
Relevant information:
