Colombia Real Estate Construction Lending
Regulation D 506(c)

Target: $14,000,000

Investors: 0

Raised: 0%

Days To Go: 164

Start date: March 4, 2021
End date: March 31, 2022


Minimum Investment:  

$50,000 (Class A)

Minimum Raise:  

$14,000,000

Maximum Raise:  

$31,715,000

Minimum Share/Units/%  

$1,000 per Unit

Equity:  

100% of Investing Membership Interest Class

Estimated Return:  

6% to 10% per annum

Investment Type:  

Private Real Estate Lending

Securities Type:  

LLC Units

Company:  

Vii Capital CBM Fund LLC

Regulation:  

Regulation D 506C

Offering at a Glance:

Vii Capital CBM Fund, LLC is offering for sale up to 31,715 Units of Investing Membership Interest (the “Units”) at USD $1,000 per Unit, aggregating USD $31,715,000, unless expanded up to USD $50,000,000 in our Managing Member’s sole discretion.





Overview

Vii Capital CBM Fund LLC, a Delaware limited liability company (“we”, “our”, us”, or the “Fund”) is a private real estate investment company formed by our Managing Member, Vii Global CBM LLC. The Fund is a special purpose entity formed by our Managing Member to provide a secured credit facility, either directly or indirectly through one or more Affiliate entities, for one or more loans of up to USD $31,715,000 (the “Loan(s)”) to LM Constructores S.A.S., a Colombia simplified stock company and/or its Affiliates (the “Borrower(s)”), in connection with their current development of a new-construction multi-family housing development called “Brisa Marina” (the “Project”).


The Project currently contemplates the construction of up to 920 residential apartment units, including green park-like common areas, multi-functional sports courts, and recreational trails and playgrounds (the “Project”) to be constructed on approximately 16.37 acres, more or less, of prime development property (the “Property”) on the outskirts of the rapidly-growing municipality of Sincelejo in northern Colombia.


The Project is designed to fill the demand for affordable housing in Sincelejo, where it has been determined by the Colombia national government that up to 41% of the city’s estimated 300,000 inhabitants lack access to adequate housing. For location maps and details regarding the Project and Property, please see the Exhibit section of the Memorandum.


The Fund expects to provide the Loan(s) to our Borrower(s) either directly or through a controlled subsidiary entity legally authorized to facilitate commercial and/or real estate loans in Colombia. We shall endeavor to ensure that our Loan(s) to our Borrower(s) are secured with “first position” or equivalent liens against the Property, Project, and other available collateral including, but not limited to, equipment, tangible and financial assets of our Borrower(s), personal guarantees our Borrower(s)’s principals or Affiliates, etc.


While it is possible that we may also take a direct or indirect equity or profits interest position in connection with the Property and/or Project, we expect that our Investment(s) in the Property and Project will be structured as one or more Loan(s) secured by a recorded trust deed (or its equivalent) position in the underlying real estate as collateral which we expect will include the power to foreclose, take possession of, and/or sell in the event of default. Unless additional adequate collateral is provided by our Borrower(s), we do not expect that our Loan(s) will exceed a maximum loan-to-value (LTV) ratio of 65% in terms of valued real property or furniture, fixtures and equipment (FF&E).


The Fund’s interests in any FF&E will likely be secured through security agreements and associated public filings as may be warranted in Colombia under the circumstances. There can be no assurance these objectives will be achieved. (See “Objectives, Strategies, and Proposed Activities” and “Risk Factors”).


The primary uses of this funding include:

 

• Refinance of land $2.750,000

• Development Costs $173,000

• Hard Construction Costs $25,118,000

• Operating Costs $2,074,000

• Project Contingency Costs $500,000

• Closing Costs (RE) $100,000 




If you should have extra questions on this offering please sign in and use the Forum tab.  The project issuer and or project attorney will get back to you with an answer.