The manager of this project is HOME OF AMBROSE, a real estate manager focused on transforming residential assets into high-end "move-in-ready" products in prime areas of Madrid, ready to live in, aimed at buyers looking for exclusive apartments in central areas of the capital.

The manager covers the search for opportunities, design, construction, interior design, furnishing and marketing. With more than 7 years of experience, they have a network of top-level collaborators to deliver a distinctive and consistent product.

The project consists of the acquisition and comprehensive high-quality reform of a house with an interior built area of 171 m². After the reform, the house will have three bedrooms, 2 bathrooms and a toilet. This is a repositioning project aimed at a buyer looking for an exclusive home in a prime location in Madrid. As it is a reform, the action will be processed via Responsible Declaration.

The construction and furnishing period is estimated at 10-11 months, with a marketing period of up to 12 months. The loan contemplates a term of 12 months with a possible extension of 6 additional months.

The manager has already disbursed 180,000 € as a deposit and must attend the sale during the month of May. The remaining capital for the purchase will be covered by the equity of the partners (an additional 620,000 € in deed) and the loan provided by Urbanitae investors.

The rest of the loan amount will be used to finance part of the reform costs and the loan structuring costs. The manager will contribute with additional equity part of the reform costs, 100% of the contingencies and the outstanding general costs of the project.

The loan disbursements will be made against monthly work certifications validated by a Project Monitor. 

The ratios of the operation reflect a solid structure: a gross LTC of 56%, a LTV on current appraisal of 60% and a LTGDV of 46% based on a target sale price of 2,950,000 €.

STRUCTURE AND FINANCIAL CONDITIONS

This operation is structured via debt, where Urbanitae investors will grant a fixed-rate loan to the company TAOH LIVING S.L.

• Gross Amount: 1,370,000 €, committed in a single tranche.

• Interest Rate: 9.5% simple annual.

• Term: 12 months with option to extend 6 additional months in month 12 (12+6).

• Minimum Return (Make-whole): 5 months.

• Amortization: "Bullet", at the maturity of principal and interest.

Total early repayment will be allowed at any time, subject to a minimum return of interest equivalent to 5 months of interest. 

Regarding the Main Guarantees of the loan, the following is established in the financing contract: 

• First rank mortgage on the underlying asset, with Mortgage Responsibility of 130%. 

• First rank pledge on the shares of the Borrower SPV.

• First rank pledge on the bank accounts of the Borrower SPV.

• Capital Commitment Letter, “Equity Commitment Letter”

• Irrevocable sale mandate, with a discount of up to 20% of the appraisal value

WHY INVEST?

There are several reasons to invest in this project:

• Prime Location in the Retiro district, (Madrid), with a limited supply of luxury housing and a solid demand from national and international buyers. 

• Zero urban risk, as it is a reform and processed via Responsible Declaration

• Manager with extensive experience in reforms of similar assets of recognized local prestige.

• First rank mortgage guarantee on the underlying asset. 

• Annual return of 9.5%, with a minimum return equivalent to 5 months of interest.

MARKET

A market study has been carried out to determine if the sale 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 about 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 timeframe for this project is 12 months with a possible extension of 6 months in month 12.

• May 2026, loan grant by Urbanitae investors

• June 2026, start of demolition and renovation works

• May 2027, notarization and sale of the property and repayment of the Urbanitae loan.

RISKS

All investments carry a risk. Below are the main risks identified for this project:

• Commercial risk derived from a possible delay in the marketing of the asset, which could mean a delay in the repayment of the debt. This risk is mitigated by the manager's experience in marketing similar assets in Madrid, in addition to having the support of real estate agencies specialized in luxury. On the other hand, a commercial due diligence has been carried out that validates the sale price of the business plan.

• Risk of deviations in the deadlines and costs of the reform due to possible unforeseen events. A technical due diligence has been carried out that sees the deadlines contemplated in the business plan as adequate, which already has a margin in case there are delays in the reform. In addition, contingencies of 9% have been included in the business plan to be able to absorb possible cost deviations.

• Possibility of change of the agreed conditions. This risk includes potential substantial changes that take place from the start of the financing campaign until the formalization of the loan contract, in which case the project would be canceled 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 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 participatory financing 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 investment of the project, the period for raising funds 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 investment made by the investors.

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 information in the project's investment area 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.