Invest

Shaduf Capital Investment Performance

Commercial property can be a viable investment for those looking to build passive income with the potential for impressive returns in the long run.

Shaduf has acquired a commercial property at Padappai. As of February 1, 2023, 2 Cr of funding for development offerings have been completed.

125+

Trusted Members

26.5%

2022 average annualized return

₹3.15Cr

Already Invested

Opportunities

Banquet Hall

Open Investment

  • Tenure:
  • 60 months
  • Investment:
  • 5 L
  • Rental Yield :
  • 18%
  • Capital Appreciation:
  • 30%

Platinum Tower

Fully Funded

  • Tenure:
  • 36 months
  • Investment:
  • 2 Cr
  • Rental Yield :
  • 24%
  • Capital Appreciation:
  • 18%

Commercial Investment

Stability

Real estate is less volatile than the stock market and has historically outperformed the NIFTY 500.

Cash flow

The monthly rents received from the renters cover property expenses and can provide passive income to investors

Appreciation

Investors benefit from the growth of real estate values over time.

Ownership of a piece of Commercial Space.

With Shaduf, you don’t just own debt-equity; you actually own a stake in the underlying commercial space in the property for which your investment is made.

Choosing the right property

Our rental properties are existing developments that we purchase with the intention of generating cash flow for investors, as well as increasing in value over time. Existing properties often start generating income right away. We look for commercial properties which have a significant growth in the market. This could be a brand-new property or an older building that has the potential for us to add value through a light renovation to increase the rental rates.

We specifically target up-and-coming submarkets, centrally located in a rapidly growing area. We look for neighborhood businesses that are seeing strong rental increases and have solid residential occupancies like Villa, Apartment, and Semi-detached houses. The property itself must be low maintenance and priced right.

Shaduf’s real estate experts use our industry connections to find qualified properties. And we complete an in-depth due diligence process to analyze many properties before making an offer on the properties with the greatest return potential.

Securing the property

When we have found a property that meets all of our criteria, we open the investment for the property which will be held, secure any financing needed, complete all title and escrow documents, and successfully close the deal.

The rental holding

Once we acquire the property ownership, we complete any renovation needed, complete the building, and stabilize the property.

Our experienced team handles every aspect of the process from start to finish. We negotiate financing options, secure the space, advertise the property to qualified crowds, complete guest screenings, oversee the property management, and handle the accounting services including monthly investor distributions.

The option to sell your share every five years

The benefit of the commercial properties comes from holding them long-term and giving them time to appreciate in value while collecting passive income from rental payments. Therefore, our goal is not to sell our commercial rental properties but to give investors the chance to build a passive real estate portfolio with growing equity over time.

In order to offer flexibility to investors, we offer these opportunities in five-year increments. At the end of a five-year period, we calculate the financials for the upcoming investment period and give investors the option to sell their shares in the property or to continue into another five-year investment.

If you choose to exit the investment, we will advertise your share for sale on the website, and new investors will have a chance to purchase your share based on the property’s new appraised value.

By continuing the investment, you keep your equity in the deal and will continue receiving quarterly disbursements while the property appreciates over time. Plus, every five years, depending on the interest rate and appreciation growth, we may get a cash-out refi on the

property, which would allow investors who continue with the deal to receive some of their original investment back.

Timeframe

This is a five-year investment, with the option to exit or continue the investment every five years.

The timeline starts the day we open escrow for purchasing the property. Then it typically takes a couple of months to get the property stabilized but the investors will start to receive their monthly disbursement from the first month as rental income throughout the five-year hold period.

Investor distributions are prorated based on the time you invest in a project.

At the end of a five-year investment period, Shaduf will order a new property appraisal and calculate projected financials for the next five-year hold period. You will be able to review the projections before choosing to either exit the investment by selling your share in the property or continue for another five-year rental holding.

Investment stages

Shaduf follows market trends closely and is always on the search for new deals to bring you the most lucrative investment opportunities possible. And since we always have new deals in the pipeline, we want to keep you in the loop on what projects are coming up. This way you have as much information as possible to make good investment decisions.

To that end, our investment opportunities follow three stages:

Coming soon.

A sneak peek at the potential deals we are lining up for the future.

Pre-investment.

A no-cost, no-obligation way to reserve your spot in an upcoming investment project while we are bidding on the next deal. You will be notified via email once a property has been secured and when it moves to become an “Open investment.”

Open investment.

The project is open to investors and all property details are available. You can place an investment and transfer your investment funds to activate your ownership stake in the property right away.