A commercial property in the serene country of Sweden, Strömstad, is currently available for investment at a price per share of 30000 SEK. The estimated minimal return stands at 13%, with the property valued at 5000000 SEK. An experienced group of developers is diligently working on the Njord Hotel & Spa project, set to be an exclusive destination hotel in central Strömstad. This picturesque archipelago city, conveniently located just an hour away from Oslo and Gothenburg, is a sought-after tourist spot attracting approximately 10 million visitors annually.

The property was acquired back in 2000 for strategic purposes, paving the way for a meticulous planning process that gained legal approval in 2019. The current team, assembled in 2022, boasts a wealth of expertise and execution skills, with a collective background spanning over 30 years in the construction and real estate sector. Noteworthy projects under their belt include CCC Karlstad, Kosterbaden Hotell, and Tanum Shopping Center.

Construction activities have commenced, including the demolition of existing structures, under the supervision of Peab Sverige AB, a reputable general contractor renowned for its proficiency in hotel construction across the Nordic region. A collaborative partnering agreement has been inked to streamline operations and ensure compliance with technical and regulatory standards. The team has already invested around SEK 73 million in various project aspects, such as land acquisition, demolition, planning, and environmental assessments.

To secure additional funding for the venture, the company is in the process of raising up to SEK 5 million in the second phase of a planned four-part capital raise. This financing will support ongoing project expenses, with repayment structured through construction credits facilitated by SpareBank1, a prominent Norwegian bank. The loan, spanning 15 months with a 13% annual interest rate, is backed by a real estate mortgage and a property bond, with the borrower reporting a preliminary balance sheet totaling approximately SEK 85 million as of 12/31/2023.

Key highlights of this investment opportunity include a 20-year Memorandum of Understanding signed with Accor, a leading player in the global hospitality industry, a partnering agreement with Peab Sverige AB, and a construction credit arrangement with SpareBank1, underscoring the robust foundation and promising prospects of this real estate endeavor.