Paradigm Niche Planning are specialist providers, operators and managers of property investment schemes for direct investment and pension investors.
Put simply, a Property Investment Syndicate is a collection of investors who share the risks and rewards of a property venture.
This type of investment allows an individual to participate in a land purchase or building development with out the risks or inconvenience of managing the project, while enjoying much of the investment returns available to this type of enterprise.
Syndicates are all structured with different returns and timescales, as well as different risk profiles, so careful consideration to select appropriate opportunities is paramount.
In most cases the investment will be made via either a Loan Agreement or a SPV (Special Purpose Vehicle). In both cases the contract will set out the amount being invested, the term and the returns anticipated.
The Investor is therefore acting as an Equity Partner with the Developer, providing Mezzanine Finance. This is the further equity required by the developer to complete the project, in addition to the Bank borrowing and funds provided by developer personally.
It is also possible to invest via a SIPP (Self Invested Pension Plan) structure. This provides a tax efficient structure around those investments. Property in Pensions is a complex issue and should only be considered after receiving appropriate, personal and regulated advice. We have FSA regulated and authorised advisers experienced in this market with the appropriate qualifications, who will be pleased to discuss this type of investment further.
For more information on the returns expected in a Property Syndicate, how the Syndicates are set up or any other queries, please contact us.
