Econtel Plus, Berlin-Charlottenburg
Investment Development: 14,370,000 (EUR)
This off plan development offers the investor the opportunity to
purchase the freehold of a 3 star hotel with the security of a 25 year
lease contract with a guaranteed 1.047,000 (EUR)/year for 25 years.
The German Economy Overview
Germany is considered among the three largest economies in the world;
it has a population of over 82 million and is the largest country in
the European Union. Germany
has the largest economy in the continent with a gross domestic product
of 2.2 trillion euros in 2004. Berlin is now booming due to influx of
cash from all over the world. The capital appreciation during this
period is estimated to start at a low rate, growing towards the
average European Capital city prices .
The proposal involves the acquisition of an off plan hotel, 100%
pre-let to a national hotel operator.
The project will consist of 160 rooms, 4 conference halls, restaurant,
bar and 66 underground parking spaces.
The construction permission has been granted and the works shall begin
Q3 2006 and completion is expected Q2 2008.
The hotel is located in the Charlottenburg district of Berlin. This
district is popular with tourists as it is home to the Charlottenburg
Palce (only rivaled by Versailles in Paris), Kurfurstendamm Shopping
Mall which is the most popular in Berlin plus a variety of cafes, bars
The tenant is Econtel Company, they already successfully manage a
hotel on the same site.
The rental contract has been agreed on a 25 year lease at a yield of
7.3%. This can be higher if you are able to negotiate the price
down of the property with the construction company
here a real prospective to make real
money in Berlin as it real state are booming from foreign investor due
to this short term and long term investment which are highly secured
by the German banks.