€ 700.000

  • 1
  • 1
  • N/A m2
  • N/A m2

New to build apartments for sale with a rental concept in place, Cala Llonga, Ibiza

Luxurious boutique hotel featuring 25 beautifully appointed one and two bedroom properties, together with everything one would expect to find in a truly 5 star destination – a fine dining destination restaurant, decadent cocktail bar, café and juice bar, two wonderful guest infinity pools with killer views, an atmospheric spa, not to mention the lavish private day yacht, for the exclusive use of our owners and hotel guests.

This new project is a brand new concept in real estate investing as our 25 buyers will not only own their individual property on a fully titled, freehold basis, but they will also collectively own all of the assets and the business units of the hotel itself.
The income for our owners will be generated not only from accommodation sales (rental), but also by all the F&B revenue (destination restaurant, cafe bar, cocktail bar, juice bar, in-room dining, picnic hampers etc.), all revenue from the concierge services (private transport, babysitting service etc.), all revenue from the spa services (spa treatments, in-room spa and beauty treatments, beauty offerings) and all revenue from the chartering of the hotel’s stunning day boat. In fact, the owners will also collectively own the day boat, a fantastic, fast and luxurious Maxi Rib (up to 18 guests and all gadgets and toys on board!).
The real estate assets themselves clearly hold a tangible and genuinely high value (the individual property, plus a 25th share of the physical restaurant, gym, spa, pool, pool bar etc.), and together with the super-charged annual income via the rental of the properties plus all revenue streams from all hotel businesses, make this a very robust, unique and exceptionally high returning investment opportunity.
Our projection of an income yield of 7% net for year one, after all, costs, is conservative.
At this stage property numbers 1, 2, 3, 7, 13, 18, 19, 24, 25 are still available and these units are most definitely super-prime properties.
Prices start at 684k euro for a property that is configured as one bed, but which sleeps 2 adults and 2 children comfortably up to 1.121.500E,
M2 between 44m2 and 77m2.
In terms of timings, we start construction in October this year (we cannot do any demolition/construction during the Summer months as it is too noisy and therefore not permitted), and we will be ready to open as a luxury boutique residence hotel in early Spring 2024 – so for payments, it is 20% down on signing and 80% on turnover of the completed property – so a good long time to prepare funds.
Regarding the inventory, the pricing includes all furniture, fixtures, fittings, interior design dressing items, artwork, etc., so each property is sold totally ready to rent at international five stars luxury standard (even down to bedding, robes, slippers, and so on), plus a share of the beautiful and very lavish hotel yacht, plus a share of all the other physical and non-physical hotel assets as mentioned before.
If we take our most conservative yield projections, we are looking at 7% net for year one (rising thereafter), which is the combination of rental income + all other hotel business unit income. This will translate into an income of approx 47,880 euro per year for the property at 684k euro for example. Internally we are very confident that we will exceed this target, but we prefer to be conservative in our marketing. The incomes from the F&B alone will be very significant.
The figure of 7% net is derived from a very sophisticated financial modeling software program that fits our business model perfectly, and the assumptions we have dropped into that are super conservative. We are referencing The Olive (a recent Nativo project that has been operating highly successfully for a year) as the basis for the assumptions, as this is real-world data.
At the moment we are fine-tuning a special VIP program for our owners, which will include gifting a certain number of luxury spa treatments, private yacht days, and so on, each year. Our owners will also have a VIP members card that they will be able to use for all hotel services and all F&B.