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Obelisk Releases Its Latest Investment Project in Slovakia

Obelisk’s newest release to clients is Central 22 , an exclusive commuter orientated development located on the outskirts of Bratislava city centre. In a highly strategic location, its situation is within the city’s primary commuter belt, and only 8 kilometers from the heart of Bratislava, 60 kilometers from Vienna and 150 kilometers from Bucharest. Central 22 represents an advantageous investment opportunity, incorporating impressive financing options, and offered to clients at 21% below market value.

Central 22 will offer 72 houses consisting of 58 units of 3 bedroom, 2 bathroom townhouses, 10 units of 4 bedroom, 2 bathroom semi-detached houses, and 4 units of 4 bedroom, 2 bathroom detached houses. Overlooking an expansive man-made lake, the construction of the development will be to a high specification and in keeping with its natural surroundings. Presenting a contemporary design with low rise buildings, each property will have allocated parking, a private garden and terracing on the upper level to enjoy outdoor living. A complete furniture package will also be available.

Slovakia is proving to be an excellent destination for investment and has witnessed a massive influx of foreign businesses. It is the fastest growing economy in Europe with GDP growth of 6.6% in 2006, is scheduled to adopt the Euro in 2009, and is currently classified as an upper-middle income country by the World Bank, although is on track to qualify as a high-income economy in the very near future.

Slovakia real estate is increasingly desirable to overseas property investors, particularly as the country has made significant changes to attract foreign investment; low interest rates of around 5% on mortgaging facilities, a low flat tax rate of 19%, and no stamp duty, inheritance tax or capital gains tax. Slovakia not only has demand from foreign property buyers but also a huge current domestic demand due to a severe shortage in the supply of property - an approximate 220,000 units are currently required.

The Central 22 project is a fantastic investment opportunity and offers some exceptional financing options for clients that aim to minimize capital outlay whilst maximizing capital appreciation. The total initial investment required for a 3 bedroom townhouse prior to completion is an unbelievably low £39,975.

Additional to such a low entry level, a unique financing scheme is being offered to purchasers of Central 22 to facilitate the final balance payment due upon completion. Clients will be introduced to an appropriate mortgage lender locally in Slovakia who, providing a clear credit history, will supply a 70% loan-to-value interest only, 15 year mortgage. Not only this, should a client with a clear credit history be refused a mortgage facility, the client has the option to reclaim all funds paid to date, which the developer has committed to reimburse.

Following completion of the property, a further option is offered to help subsidise payments of mortgaging costs; a 5% guaranteed rental yield for 24 months, which equates to just over £16,000.

These unique financing facilities available to clients present a truly exceptional investment opportunity. Based upon an estimated capital appreciation of 20%, the value expected at completion (month 42) is £393,984. If taking advantage of the financing facilities, the 70% LTV mortgage would be £275,299, which after payment of the final amount would give the client a £153,109 cash sum (383% COC) return, with the mortgage payments subsidised by the guaranteed rental income. After the 2 year rental period the client stands to gain an outstanding return on investment of 192%.

Impressive house price growth is expected in Slovakia, with analysts predicting in excess of 15% growth per annum over the next 3 to 5 years, indicating an excellent climate for property investment. Residential property in Slovakia has seen the average price per square meter increase with quarter 2 of 2007 registering a year-on-year rise of 21.3%, and an incredible 104% rise over the five year period. The Bratislava region registers the highest per square meter price for residential property with a 6% quarter-on-quarter increase, and is Slovakia’s fastest-developing property market. Despite this, Bratislava remains one of the most affordable cities in Europe.

Located on the River Danube, Bratislava has over 500,000 permanent residents, and is an exciting cosmopolitan city with a rich culture, offering tourists and investors alike an array of activities, breathtaking scenery and historical monuments.

Bratislava has excellent transport connections, with its international airport becoming an increasingly popular destination for low-cost airlines, and planned expenditure of £7 million for reconstruction of its passenger handling capabilities during 2008 – 2009. The city also has established connections with Vienna offering a high-speed catamaran service, and a regular train service every 30 minutes, between the two cities. Apart from Bratislava’s citizens, a further 130,000 people commute to the city every day.

Central 22 presents a truly outstanding opportunity for the discerning overseas property investor; a strategic location, superb potential return on investment, located in the fastest growing economy in Europe, huge demand from both foreign and domestic buyers presenting an immediate exit strategy, 21% below market value, and coupled with such unique financing options giving an incredibly low entry level of £29,975.

For further information about Central 22 , or to find out about other Obelisk projects, please contact Obelisk on 0808 1600670 or email info@obeliskinternational.com or visit our website http://www.obeliskinternational.com

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