BACKGROUND
2008
Background
The company QAUTIO was founded back in 2008, which the objective to become one of the leading rental agencies in Cannes for both markets: Leisure and Business.
After 10 years of operations, we understood, that controlling the stock, ie the properties, would be a clear differentiator for success in the rental market. Further, it became indisputably clear, that as the rental income in Cannes is significantly higher than any other French destination, the ROI (Return On Investment) for property owners was very high. Based on these two observations, the idea to create an investment fund was created.
2017
CPI I – Acquisition, Operation, and Exit
During the years 2017-2021, a total of 14 apartments were acquired, renovated, and made operational for rent. As planned, the first apartment entered the investment exit phase in 2022, where is was sold by QAUTIO at a price significantly higher than the market price, due to a very positive rental and earnings history. We can document incremental selling prices of 20% compared to similar properties which have no rental history.
2017
Cannes Property Invest and Investment fund: CPI I
CPI was created in 2017. After an initial round of investor meetings, a private Danish investor decided to invest 10m€ in the first fund, which was named CPI I.
Based on this investment, 14 apartments were acquired during the period 2017-2020. Most of the apartments were renovated and developed under the supervision and guidance of CPI. In October 2018 the first apartment, named Scandinavian Suite 1, was released to the rental market, under the exclusive operational management of our sister company, QAUTIO. Our first Corporate client was Sony Pictures.
2023
Investment fund: CPI II is launched
As most of the 14 apartments in CPI I have now been sold, a new investment fund has been created, named CPI II. This fund aims to acquire its first property in Q3-Q4 of 2023 and will leverage the best learnings from CPI I.
Investment Funds
Cannes Property Invest has experience in creating Investment Funds, where investors invest in real estate in Cannes, the French Riviera. They invest in apartments that have a strong potential for seasonal/short-term rent, as well as a high upside on development gains when selling/exiting.
Low usage and high ROI
Overall, our inventors experience a relatively low usage of their properties (<120 rental days/year), while still achieving high ROI, on average > 10% annually (before taxes)
The main business drivers
Cannes offers two large market segments:
– BUSINESS
– LEISURE
Cannes won the title of the ” World’s Leading Festival & Event Destination 2022”, by World Travel Awards.
The hotel capacity does not suffice, so visitors will need private homes for their accommodation in Cannes. Because of the attractiveness and the lack of supply of accommodation in the city center, renting prices are very high.
Short-term rentals yield higher prices (and returns) at lower occupancy rates because of the high-income revenues from rentals, the pricing of the property when exiting, is significantly higher, we estimate min 20% higher than for similar properties without a rental history/track record.
Proven Concept
The first investment fund, CPI I, was created in 2017, with a capital of 5m€ which was used to invest in 14 apartments in the city center of Cannes. After 5 years in operation, each property enters the exit phase. Today, 5 apartments have been sold, and investors have gained an ROI of approximately 12% on average.
Comparing similar properties on the transaction (sales) market, we can document that our properties, which offers a 5 year rental track record, will sell at significantly higher prices;- in the range of 20% – 25%, when exiting the investment period.
We start with a personal meeting as our approach is built on a common basis in your future investment
Maximize the potential return on your assets by partnering with us, benefiting from our expertise and strategic guidance
HIGH RETURNS
We can document that our properties, which offers a 5 year rental track record, will sell at significantly higher prices, when exiting the investment period.
We estimate min 20% higher than for similar properties without a rental history / track record
IN DEPTH KNOWLEDGE
We have a in-deept knowledge of the rentals market in Cannes.
We will therefore be able to select the investment objects with great accuracy in relation to the concept and profitability requirements