Quote:
Originally Posted by mpat
Actually its a good and innovative idea to do business,the logics are right.but the concepts is not supported by any legal provisions.Like R u getting any type of Ownership on it? Is it possible to lease it out separately, what is the exit strategy? etc
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exit stratedegy is (i copy and paste)
Exit Options:
Although the Fund is being structured as a two year investment, we intend, on a best endeavours basis, to invite 'new'
investors into the Fund from the date of the Funds first Anniversary. An estimated end year one value is 120,000
AED – and we would not expect any problem in attracting new investors at that new 'entry price'. We ultimately
expect the car parking slots to be worth 150k - 200k AED each – thus allowing any new investors considerable
upside. Prices at the end of the first year should reflect a) the development being one year closer to completion b) car
parking prices in Dubai rising with market demand/shortage c) some car parking slots could be sold to office/floor
owners, through the Developer and d) ad-hoc sales/rentals will be transacted where appropriate. Where any
sales/new money is received there will be a dividend/capital repayment made to Investors. This type of asset is highly
liquid!
Fees: We will take no fees at point of entry but be entitled to 10% of any profit achieved at point of 'exit'. We will also
take no fees if the Investor does not get a minimum of 20% per annum from the Fund / Investment. In the event that
an Investor does not 'en-cash', there will be a fee payable at maturity of the Fund, that will be equivalent to what would
have arisen had he/she cashed in his/her investment. There may be legal and other 'structure' fees of approx 1% of
the fund.
the more i look at this i like it more