FAQs
Please feel free to reach out to us if
You have any queries or questions regarding our service.
FAQ’s
Fractional ownership refers to a set-up wherein groups of
investors pool in funds to purchase a property. They share
passive ownership of a high-value asset. This approach reduces
the financial burden on a single investor to own a property
and allows the investor to earn returns on the investment.
You need to submit your PAN card and identity proof (Aadhar,
Passport etc.) for tax processing. You also need to sign the
required documents to get the ownership corresponding to your
investment in SPV.
A special-purpose vehicle (SPV) is a legal entity created to
fulfill narrow, specific or temporary objectives. In this
case, SPV is created for owning, managing and selling the
property. Reditas will be the manager of the SPV, property,
tenant, and investors.
All the investments in a specific property are done via an SPV
and the SPV is registered and compliant with the Registrar of
Companies (ROC), Companies Act, and MCA.
Reditas charges 1.8% as an initial entry processing fee. This
fee is used to cover the charges spent by Reditas to identify
the best possible investment opportunities and structure the
deal.
Reditas also charges a performance fee of 9% on rental returns
as well as capital appreciation when the property is sold.
Each investment opportunity has a detailed ROI (Return on
Investment) analysis that you can refer to. The expected IRR
is calculated after deducting all expenses and fees.
To ensure we objectively evaluate exit options, we have
predefined goals based on detailed analysis done by Reditas.
For example, a specific investment opportunity can have a 50%
appreciation or 3 years whichever happens earlier.
The properties selected by Reditas are Grade A commercial
properties with tenants being MNCs. The standard rental
agreement will act as a binding between the tenant and the
property owner.
