Ribelles Comín - Estudio B

We present the second of our planned flipping investment opportunities: The Ribelles Comín Project.

You can read more about our flipping models here and find a summary of what the Ribelles Comín Project entails here.

The complete project consists of a comprehensive transformation of a commercial property to create four independent studio apartments, each designed to offer all the comforts of a conventional home.

We will add value to the project through renovation, zoning changes, and horizontal division. As usual, we will furnish the property and deliver a turnkey product for the final investor.

With these studios, we aim to offer an attractive investment product focused on the final investor—someone who will acquire the property once completed.

This product meets high demand and has limited supply: a fully renovated home, accommodating two guests, in an excellent location, and at a very competitive price, making it accessible to any investor.

This is the second operation in our "flipping" model—a new line of more dynamic projects with faster capital turnover and attractive returns for our investors. The main goal is to achieve a quick sale.

Why invest in converting commercial properties into homes?

Converting commercial buildings into homes represents a high-potential investment strategy, especially in today's real estate market. This model allows us to leverage key trends like urban growth and increased demand for affordable housing.

• Competitive Market Price

The target price of €76,783.24, once renovations are complete and including furniture, remains below market values in the area. This not only ensures an advantage over comparable properties but also increases the likelihood of a quick sale or high occupancy in case of rental.

• Exceptionally High IRR

The combination of a reduced target price and income-generation potential after renovations projects an IRR of 11.53. This indicates significant expected returns from both cash flows and asset appreciation.

• Greater Market Appreciation

In urban areas, studios often experience higher appreciation due to their high demand and developers' tendency to prioritize smaller, more affordable units. This ensures a solid return not only in rental income but also in asset value over the long term, with an estimated appreciation of 15% that may exceed expectations at the time of sale.

• Higher Total Income per Square Meter

Studios, though smaller, tend to generate proportionally higher income per square meter compared to multi-room apartments. This is because each studio is rented as a complete unit, maximizing income by dividing a space into multiple independent units instead of rooms under a single lease. Each studio is estimated to generate annual rental income of €8,400.

• Appeal to Diverse Profiles

Studios attract a wide range of tenants, from students to remote workers, expatriates, and young couples. This diverse target audience ensures consistent demand, even during economic uncertainty, as these units tend to be more affordable.

Investing in these studio apartments is a strategic decision due to their high demand, competitive rental income per square meter, and ease of management. Additionally, they provide flexibility and appeal to a broad range of tenants, making them an ideal option for maximizing profits in the real estate market.