Student Housing Investment in Medellín

[Ruben Wollerich]

Hello!

We are a Dutch team located in Medellín, Colombia. We sublease 4 properties with a total of 35 rooms. We have great margins (60% gross profit per house) but are looking to establish a better real estate deal for us. We increase cash flows by 220%. It's rare to get higher than 6-7% cash flow returns on residential properties here in Medellín. 

We are looking into setting up a fund to raise capital to buy, remodel, furnish and decorate a house. This helps us to get the ideal house, cash out with the diff. between raised funds and expenses (15 - 25 %) and offer 10 - 15% cash flow returns to investors. 

Basically the idea is to sell shares of a holding that acquires the property. We won't have shares and will operate the property with our brand that has shown very high occupancy rates over the past years. 

Is this the right line of thinking? Any feedback to our proposal or something we're missing.