By Lisa Walls-Hester on Monday 13 March 2017
CapitalRise says it is the first investment platform to offer savers access to prime residential property investments through an IFISA and targets potential returns of 10-14 per cent on its London property investment.
The platform launched its first Innovative Finance ISA (IFISA) for prime residential property today.
The IFISA lets savers invest a minimum of £1,000 and up to £15,240 in the current tax year (rising to £20,000 in the 2017-2018 tax year) in prime residential property, targeting tax-free returns between 10-14% per annum.
Uma Rajah, CEO of CapitalRise said: “Our prime real estate IFISA provides savers with an opportunity to access an historically top performing asset class - prime residential property - held in a tax-free wrapper.”
“In the current low- interest rate environment and with inflation predicted to rise significantly in the short term, we believe this will prove very attractive to UK investors and the hundreds of customers who’ve already registered with us.”
Alongside the new IFISA, Capital Rise is also launching a new investment opportunity for a residential development at Strand Chambers, 227-228 Strand.
Strand Chambers is being developed by Seastar Developments, which delivered an award winning scheme on the Strand in 2014, together with projects on Buckingham Gate and in Chelsea.
The investment will launch to investors on Monday 20th March and will seek £1.2m of funds.
CapitalRise arranges for funds to be lent to developers of prime real estate, but to provide investors with an extra level of protection, deals are structured so that the developers would always lose their money first in the event of a loan default.