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Unfortunately, this deal expired 10.06.2024
10 days ago

Corner Hotel VIII

/ max. 100,000 

About This Deal

The Corner Hotel VIII project from Lithuania is raising investments in the amount of 100,000 euros for Working capital with an expected annual return of 12-14%. The minimum investment amount is 100 euros.

The loan term is 15 months, which means the period for the borrower to repay the borrowed amount and the interest on the loan. In this case, the borrower must repay the loan within 15 months after receiving the loan.

The project's risk level on the platform is indicated as C-. On the platform, projects with ratings "A+", "A", "A-" account for about 9%, while projects with ratings "B+", "B", "B-" make up the majority at 58%. There are also projects with ratings "C+", "C", "C-", comprising around 30%, and the remaining projects have a rating of D. Ratings A and B indicate that the expected investment risk is lower than when investing in loans with ratings C or D, but the return will be correspondingly lower if you invest in projects with a lower risk level.

The project has a Loan-to-Value (LTV) ratio of 81%, which is within the established maximum value of 84%. The Loan-to-Value ratio (the ratio of the loan amount to the market value of the collateral) is an important indicator in the financial sector, especially in collateralized lending. In this case, an LTV of 81% indicates that the loan amount is 81% of the current market value of the collateral (likely real estate or another asset). Such LTV restrictions are set to reduce risks for the lender and ensure a more stable financial position for the project. For example, the lower the LTV, the lower the risk of default, as the borrower has more equity in the project.

The internal project number is P00001164-8 on the licensed crowdfunding platform Profitus from Lithuania.

Please note that the information on the platform cannot be construed as a recommendation, advice, or invitation to use a specific investment service and is not considered the basis or part of subsequent transactions. Investing always carries the risk of losing part or all of the investments. I agree with the Profitus platform and also recommend approaching investment responsibly by diversifying your investments.

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