· For the first time ever co-investors will be able to subscribe equity real estate investments in German A cities digitally from autumn 2021 on-wards · Newly-built residential property in Berlin-Mitte acquired as first invest-ment opportunity · Inclusion in XETRA trading means additional liquidity for shares in Linus Digital Finance AG
LINUS Digital Finance is expanding its investment solutions to include equity real estate. Only recently the Berlin-based real estate fintech completed its first portfolio investment with a newly-built residential property in Berlin-Mitte. The investment solutions on offer to date in the private debt sector are thus being supplemented with long-term portfolio investments.
“It is our aspiration to offer our co-investors secure, long-term, high-yield equity investments in real estate from the autumn of 2021 onwards. We are convinced that our product is a significantly more attractive investment for our clients than the direct purchase of a property – at the very least due to the elimination of the administrative workload and costs. With our new investment solution we are offering an attractive alternative to other fixed-interest offerings,” is how David Neuhoff, founder and CEO of Linus Digital Finance AG, explains the next strategic step in the company’s development. “In the longer term we expect a distribution yield of three to four per cent p.a. and anticipate an overall return of five to seven per cent,” adds Neuhoff.
The real estate fintech had only recently also made its digital investment platform accessible for British investors, thus taking another important step on its path to the internationalisation of its business.
“The strategic expansion of our investment offering and the launch of our digital investment platform in the UK are two important steps for us on the path to becoming the leading pan-European real estate fintech,” is how Neuhoff explains the latest developments at LINUS Digital Finance. “In the medium term we intend to make it possible for investors from all over Europe to invest in real estate completely digitally and on a cross-border basis.”
LINUS Digital Finance is also making progress on the capital market. In Hauck & Aufhäuser Privatbankiers AG a designated sponsor was recently mandated for the trading of the shares in Linus Digital Finance AG.
“Thanks to our listing in XETRA and the collaboration with Hauck & Aufhäuser our share is now to be found on the most significant German marketplace and we are increasing its liquidity and marketability. In this manner we are establishing the possibility to process the necessary capital market transactions as quickly, transparently and efficiently as possible in the future,” comments Frederic Olbert, CFO of Linus Digital Finance AG.
In addition to the Frankfurt, Munich, Berlin and Düsseldorf stock exchanges, shares in LINUS Digital Finance can now also be traded on the digital marketplaces of the Munich stock exchange, Gettex, and Düsseldorf stock exchange, Quotrix.
Linus Digital Finance AG finances real estate projects with debt and mezzanine capital through a private debt fund which it manages, making it possible for semi-professional, professional and institutional investors to participate in these investments through a digital platform. The term of the loans usually amounts to between six and 48 months.
A subsidiary of Linus Digital Finance AG is supervised by BaFin as a financial investment management company (Kapitalverwaltungsgesellschaft – KVG). The funds and investment companies managed by Linus Digital Finance AG have – together with co-investors – invested more than 630 million euros of capital, with approx. 450 million euros thereof from co-investors, in real estate projects since its foundation in 2016 and thus financed a project volume of nearly 2 billion euros. To date approx. 38 million euros in interest has been paid out to the investors of Linus Digital Finance AG (as of July 2021).
Linus Digital Finance AG is listed on the regulated market (General Standard) of the Frankfurt Stock Exchange. Linus Capital Ltd. is the British subsidiary of LINUS Digital Finance AG and an appointed representative of Infinity Asset Management LLP, which is authorised and regulated by the Financial Conduct Authority (FCA).