Crowdhouse presents new investment model for real estate
The Zurich-based real estate company Crowdhouse AG has introduced the new Miteigentum 2.0 model, where private investors jointly acquire properties through corporations. The company aims to support the housing market and focus more on asset and investment management.
According to a press release, the Zurich-based real estate company Crowdhouse AG intends to reposition itself on the market and replace the co-ownership model it has been offering for years with the Miteigentum 2.0 model. As with the previous model, Miteigentum 2.0 involves a group of private investors jointly acquiring a Swiss investment property, according to the press release. The main difference lies in the legal framework. With Miteigentum 2.0, the acquisition of real estate takes place via public limited companies set up specifically for this purpose.
Crowdhouse also wants to do something for the housing market. According to the company’s press release, construction activity in Switzerland is in sharp decline. “The fact that construction activity is so low is not only due to the fact that construction has become more complicated and protracted, but also because it is now becoming increasingly difficult for developers to obtain financing, construction loans, mortgages and promotional financing, probably also in view of Basel III,” CEO Robert Plantak is quoted as saying. At the same time, many institutional real estate buyers are still very reluctant to invest. “There is a lack of capital in the right place to create urgently needed living space. This is precisely our strength: our private investors are much more flexible and Crowdhouse is much more agile than traditional institutional real estate investors,” continued CEO Plantak.
In future, Crowdhouse will concentrate more on asset and investment management, the statement continues. As part of this focus, Crowdhouse will outsource services to third-party providers. This includes the technical management of the properties, which will be handed over to several local providers as of September 1, 2024.