The Cortijo Merino project is the Phase II of the Bulevar 360 Project, which will cover the development of construction works, marketing and delivery of 165 multi-family homes in the Cortijo Merino sector in Malaga. In this second phase, Urbanitae investors will grant a subordinated loan intended to finance the outstanding payment costs of the urbanization and part of the general costs of the project.

Phase I of the project consisted of the acquisition and urbanization of the land, until obtaining the Building License and the entry of the Developer Loan. 

Urbanitae and other co-investors granted a bridge loan to finance part of Phase I of the Project for an amount of €9.325m structured in three tranches. This loan was intended to refinance a mortgage charge on the land and partially finance the urbanization costs and general project costs. 

The urbanization works are at a certified work progress degree of over 90%. It is expected to be completed and received in the coming months. The Building License has been granted and a pre-sale level of 54% has been reached, milestones required for the entry of the developer loan.

The developer loan is granted by a top-tier banking entity and its signature (and refinancing of the Bulevar 360 Project) will occur prior to the granting of the Cortijo Merino Project loan - Phase II subordinated loan. 

The exit of Urbanitae investors from Phase I will take place prior to the granting of the Phase II subordinated loan, through the refinancing of the bank developer loan that will take the mortgage in the first rank on the asset.

The rationale of the Phase II subordinated loan is the financing of urbanization costs and general project costs as a contribution of a margin of own or derived resources (for bank purposes) and to comply with the minimum requirement of own funds contribution required by the banking entity.

The project has a Building License and a construction contract signed with a leading company in the development of work in Malaga and Costa del Sol. The works started in October 2025 and an execution period of approximately 24 months is estimated. 

The marketing of the homes is underway and as of today, the promotion has 89 units sold, which represents 54% of the total units indicating that the project has aroused considerable interest. 

Urbanitae investors will enter the project through the granting of a committed subordinated loan in a single tranche. The loan amount will be up to €2,700,000, with a fixed annual rate of 12%, a regular term of 28 months, and two possible extensions of 6 months each in month 28 and 34, respectively. Also, a minimum return of interest equivalent to 12 months is established. 

The exit of Urbanitae investors will be made through the income from additional provisions to offset own funds negotiated with the bank within the developer loan. These provisions will occur as milestones of progress of (i) construction and (ii) marketing are met. Alternatively, the loan contemplates the repayment of principal and interest against the delivery of the homes once the developer loan is repaid.

STRUCTURE

This operation will be structured via debt, where Urbanitae Investors will grant a fixed rate loan to the company AGP REAL ESTATE 4, S.L.

The total loan amount amounts to €2,700,000, to be fully financed by Urbanitae investors. The total loan will be structured in a single tranche, whose main characteristics are the following (more information in the document "Fundamental Investment Data"):

• Simple annual fixed interest rate of 12%.

• Total return of 28%. 

• Loan term: 28 months with two possible extensions of 6 months each in month 28 and 34, respectively.

• Interest and principal of the loan will be paid at maturity (interest will begin to accrue from the moment of formalization of the loan contract).

Total early repayment will be allowed at any time, subject to a minimum guaranteed return equivalent to 12 months of interest. 

Regarding the loan guarantees, the following is established in the financing contract: 

• First rank pledge on the Borrower's social shares 

• First rank pledge, without fund intervention, on the Borrower's bank accounts 

• First rank lien on the economic rights derived from future dividends reported by a second promotion, currently under development and whose completion and delivery is scheduled for November 2027 

• Joint corporate personal guarantee granted by the parent company

• Pledge of collection rights derived from recapitalizations of own funds from the developer loan

WHY INVEST?

There are several reasons to invest in this project:

• Prime location in Malaga, in a new sector under development next to the University with strong residential demand and a limited new offer.

• Developer loan granted by a top-tier banking entity, prior to the granting of the Urbanitae loan. 

• Urbanization works in a degree of progress >90% and Building License granted. 

• Level of formalized pre-sales of 54% (89 of 165 units).

• The return that the investor will obtain will be 12% per year with a minimum return equivalent to 12 months of interest.

MARKET

A market study has been carried out to determine if the selling prices proposed by the manager are reasonable. In turn, a commercial Due Diligence has been carried out by an external agent who has issued a favorable report corroborating the proposed prices. 

There is information available on the market within the "Sales Witnesses" documentation, where you will find a list of homes for sale in the area.

WHEN WILL I RECOVER THE INVESTED MONEY?

The estimated term of this project is 28 months with two possible extensions of 6 months each in month 28 and 34 (28+6+6).

• February 2026, granting of the bank developer loan and refinancing of Phase I of the project (Land Phase), as well as continuation of the construction works of the promotion.

• February 2026, granting of the subordinated loan (junior loan) by Urbanitae investors to finance urbanization costs and general project costs. 

• First quarter 2028, completion of construction works and delivery of the homes.

• Second quarter 2028, repayment of the subordinated loan to Urbanitae investors.

RISKS

All investments carry a risk. We detail the clearest risks we have identified for this project: 

• Delay in construction deadlines that may cause delays in debt repayment. Mitigant: there is a contract for work at a fixed price and term formalized with a top-tier construction company.

• Delay in the marketing of the homes that may cause delays in debt repayment. Mitigant: currently there are 89 units sold equivalent to 54% of the promotion's marketing.

• Possibility of changing the agreed conditions. This risk includes potential substantial changes that may occur from the start of the financing campaign until the formalization of the loan contract, in which case the project would be cancelled and the investment returned.

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Warnings and Risks

Urbanitae Real Estate Platform S.L. (Urbanitae) does not hold the status of an investment services company, nor of a credit institution and is not attached to any investment guarantee fund or deposit guarantee fund. The information published by Urbanitae Real Estate Platform on its Website is for informational purposes only and can in no case be considered as an investment recommendation to potential investors.

The crowdfunding projects published by Urbanitae on its Website are not subject to authorization or supervision by the National Securities Market Commission or the Bank of Spain, therefore, all the information provided by the manager in relation to the projects has not been reviewed by them.

Urbanitae expressly informs that, in case of non-compliance with the total volume of project investment, the deadline for fundraising may be exceeded by up to 25%, maintaining the same investment conditions. Likewise, the project may be financed by Urbanitae when at least 90 percent of the financing objective has been reached, once the participation in the project that the platform itself may have is discounted. 

Investing in the projects published on this Website may entail certain risks, such as, the risk of total or partial loss of the invested capital, of not obtaining the expected monetary return or of lack of liquidity. Therefore, we warn investors to only invest an amount they are willing to lose and we suggest they diversify their investments to minimize and mitigate potential risks. In the event that the manager is unable to return or remunerate the funds received, Urbanitae will not return the investors their investment made.

This project will be open to any investor registered in Urbanitae, and any of the following registered persons may invest in it:

• Urbanitae partners who own at least 20% of the share capital or voting rights;

• Managers or employees of Urbanitae;

• Individuals or legal entities linked to these partners, managers or employees by control.

In this regard, Urbanitae guarantees that the investments of any of these people will be made through the platform, on the same terms and conditions as any other investor, without receiving any preferential treatment, or privileged access to information compared to the rest of the investors registered in Urbanitae. In accordance with Urbanitae's Internal Code of Conduct, these investors are obliged to internally communicate these operations.

Once the investment in the project is closed, Urbanitae will provide in the project's investment area information about the amount invested by these investors, the type of investor who has made the investment and the percentage it represents with respect to the total financed, always complying with the data protection policy.