About Us
Why we exist
By pooling resources we can achieve more - we can enable more people to benefit from investing in property.
We can also improve the availability of high quality homes to either buy or rent and at reasonable rates. And we can help savers and investors to generate a better return by investing directly in the delivery of those homes.
With CrowdLords, everyone benefits.
Our investment model
We operate an investment model whereby the property is held within a Special Purpose Vehicle (SPV) - a Limited Company - and is funded through a combination of equity and debt, where possible, all provided by the crowd.
INVESTING IN PROPERTY DEVELOPMENTS
Property Developments are typically funded through a combination of Senior Debt (1st Charge); Mezzanine or Junior Debt (2nd Charge); and funds provided by the developer which is invested as equity.
Debt investments; You loan money to the SPV, a charge on the assets is held on your behalf. The fixed returns offered on debt will vary depending on the loan-to-value (LTV) and can range between 6% p.a. for minimal leverage with a 1st charge, and 18% p.a. where the LTV might be up to 75% secured via a second charge.
Equity investments; You own Shares in the SPV (Limited Company) carrying out the development, your projected return is represented by a share of net profits after tax, paid at the end of the project after any debt has been repaid.
INVESTING IN RENTAL PROPERTIES
Either residential or commercial rental properties can generate a regular income as well as delivering capital growth as the value of the property may increase over time.
These investments tend to be as equity investments and we look to source debt from commercial mortgage providers at competitive rates.
As a shareholder in the SPV owning the property you share in the profits through quarterly dividend distributions and then at the end of the term, when the property is either sold or refinanced, you receive a share of any capital growth (after tax).
These investments tend to be longer term - between 3 and 7 years - and suit investors looking for potential income combined with the opportunity to benefit from any gains in the property's value during this time.
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