What is performance or profitability?
What is performance or profitability?
In the context of a financing round for a real estate project, an interest rate is negotiated beforehand between Raizers and the real estate developer. This rate represents the return on the invested capital that will be paid to the investor, at regular maturity or at the end of the contract (maturity of the loan). Example: for €1,000 invested with a 10% return, over a 24-month period, the investor will receive €100 at the end of the first year and €1,100 at the end of the second year. That's €200 in interest paid.
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Updated on: 05/04/2022
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