A burgeoning real estate hotspot, Medellin has witnessed a remarkable transformation in recent years, emerging as a dynamic hub for business, culture, and tourism. However, it’s not just the city’s scenic beauty or pleasant climate that is drawing attention; it’s the thriving real estate rental market that’s capturing the interest of investors worldwide.
The real estate market in Medellin offers attractive investment opportunities, particularly in the rental sector. According to Nomad Capitalist, Colombia ranked among the top five countries globally for high rental yields in April 2022. Additionally, in October 2023, Global Property Guide listed Medellin as the second-highest rental yield destination worldwide, highlighting its potential for lucrative returns on investment.
Investing in Medellin’s Lesser-Known Neighborhoods: Flipping Properties and Developing Boutique Apartment Buildings with Fast Turnaround
While popular neighborhoods like El Poblado and Laureles often capture the spotlight, smaller, lesser-known areas in Medellin offer compelling investment opportunities, particularly for flipping properties and developing boutique apartment buildings. Whether you’re interested in purchasing investment notes or directly engaging in property flipping or boutique apartment development, there are multiple pathways to achieve substantial returns. For investors aiming for fast turnaround and short investment periods, these neighborhoods present a strategic advantage. Here’s why focusing on neighborhoods like La Magnolia and Aranjuez can be beneficial, along with strategies for achieving quick returns.
Lower Property Prices
Neighborhoods like La Magnolia, Aranjuez, Belén, San Javier, and La América offer lower property prices, making it easier to invest with less capital. Reduced purchase costs allow for more renovation budget, enabling quicker property flips and faster returns.
Strong Market Demand
As smaller neighborhoods develop, demand for quality residential options rises. Boutique apartments with modern amenities can quickly lease or sell. Well-flipped or newly developed properties attract strong interest, and effective marketing and competitive pricing can ensure rapid turnover.
Local Community and Culture
Neighborhoods like La Magnolia and Aranjuez offer authentic local culture, making properties with unique character appealing to buyers or renters. Designing boutique apartment buildings with local art and eco-friendly amenities can attract interest and lead to quicker sales or rentals.
Growth and Development Potential
Investing in Medellín’s emerging neighborhoods offers quick gains as they develop. Targeting areas on the brink of growth can lead to faster appreciation. Additionally, ongoing infrastructure upgrades like better public transportation and new public spaces can rapidly increase property values, aligning well with development or property flips.
Hidden Gems for Fast Turnaround
La Magnolia in Envigado and Aranjuez both offer promising investment opportunities. Aranjuez’s affordable properties are great for quick flips, while La Magnolia’s historical charm and community spirit make it ideal for boutique developments. Both neighborhoods provide potential for fast returns through strategic renovations and developments.
Strategies for Fast Turnaround
Focus on quick, high-impact renovations to boost appeal without delays. For boutique apartments, streamline development by working with experienced professionals and choosing efficient designs. Use strong marketing strategies and engaging social media content to attract buyers or renters quickly.
Investing in Medellin’s smaller neighborhoods, particularly through flipping properties and developing boutique apartment buildings, offers a unique opportunity for fast turnaround and short investment periods. Whether you choose to purchase investment notes, flip properties, or develop boutique apartment buildings, each strategy has its own set of advantages and potential rewards. Areas like La Magnolia and Aranjuez present significant potential for quick returns due to their lower property prices, growth potential, and rising demand. By implementing efficient renovation strategies and leveraging the unique appeal of these neighborhoods, investors can achieve substantial and timely returns in Medellin’s dynamic real estate market.
Medellin Real Estate Investment Notes
Fixed Term
Investors can accomplish short and medium-term investment goals with a predictable monthly income.
Competitive Interest Rate
No Fees or Commissions
Investing Made Easy
Unique Investment Opportunity
Fixed Term
Investors can accomplish short and medium-term investment goals with a predictable monthly income.
Competitive Interest Rate
No Fees or Commissions
Investing Made Easy
Unique Investment Opportunity
Take a Look at How Simple it is to Start
READ
Carefully read the Private Placement Memorandum and its supplements, including the section entitled “Risk Factors”.
SIGN
Complete the Subscription Agreement and Direct Deposit form identifying the amount and interest payment schedule. E-mail to us [email protected]
FUND
Once your signed documentation is approved, we will send you a Capital Call via email typically within 24 hours. This will allow you to conveniently fund your Note online using a debit/credit card, ACH or wire transfer. Please remember to check your spam and junk folders for this email. You may also receive a text notification, depending on your country.
EARN
You’ll earn daily compound interest on your principal investment. Interest payments will be deposited into your bank account during the first week of every month unless you select a different payment schedule. When your Note matures, your principal will be automatically deposited into your bank account, or you can choose to renew your Note at the new rate.
Architectural Design
Forms
Compliance
The Medellin Real Estate Investment Notes offer investors a chance to capitalize on the growing demand for real estate in Medellin, all from the comfort of their own homes. These notes feature a fixed interest rate and term, allowing investors to accomplish short and medium-term investment goals. If you need any assistance please email Investor Relations at [email protected] or call +1 (305) 521-9069, or +57 (300) 627-7605.
- Interest is compounded daily, based on a 365/366-day year.
- Neither the Colombia Superintendencia Financiera de Colombia (SFC) or US Securities and Exchange Commission (“SEC”) nor any state securities commission has approved or disapproved of these securities or passed upon the adequacy or accuracy of the Private Placement Memorandum. Any representation to the contrary is a criminal offense. This offering is being made under Regulation S for investors outside the US and Regulation D for investors within the US and exempt from registration. A Form D notice has been filed with the SEC and can be found by clicking here.
- The Alvarez Pereira company exists as Alvarez Pereira Inc. a US corporation and Alvarez Pereira SAS a Colombian corporation. Click here to see our information with the State of Florida Division of Corporations. Click here for our information on file with the Colombian Mercantile Registry.
FAQ's
Medellin Real Estate Investment Notes are unsecured, debt obligations that often offer higher interest rates than most investment accounts and have a fixed term.
Our revenue model is based on a combination of short-term and long-term investments in real estate. We purchase, renovate, and sell properties within 5 to 7 months, achieving a net return of 33%. We build small apartment buildings (4 to 5 units) over 10 to 16 months, yielding a net return of 60%. We maintain ownership of some units to generate ongoing rental income.
We maintain a capital reserve of 25% at all times.
A qualifying bank account is required to invest.
Investors residing in Colombia must have a valid Colombian address, and you must have a valid cedula or NIT. Investments can be made by individuals, corporations, partnerships, limited liability companies, firms, associations and trusts, or as custodial investments. You may invest individually or jointly with another eligible investor.
Investors residing in the United States must be accredited, have a valid US address, and you must have a valid Social Security number or U.S. federal tax identification number. Investments can be made by individuals, corporations, partnerships, limited liability companies, firms, associations and trusts, or as custodial investments. You may invest individually or jointly with another eligible investor.
The entire account creation and investment process is completed online. You will be prompted to provide or verify any required information, as well as make the necessary acknowledgments electronically.
After your Subscription Agreement and Direct Deposit Authorization is accepted and funds posted to your account, we will send you a Purchase Confirmation that includes pertinent information about the note you purchased, such as the interest rate, issue date, and interest payment schedule.
Interest rates may be updated each Friday and any change would become effective the following Monday of each week. For more information, please refer to the Private Placement Memorandum. Note holders will be informed in advance.
Interest starts accruing the day your payment is received and posted to your account. We are not responsible for any delays from third-parties, banks, etc.
Interest payments are processed according to your selected interest payment schedule and sent the first week of the month.
Interest earned on your Notes is reportable by you as taxable income.
An annual Form 1099 will be sent to the email address provided in your Subscription Agreement.
Contact us via email or telephone. You will need to provide the email address provided in the Subscription Agreement and mother’s maiden name.
You will need to submit an IRS Form W-9 to change the Social Security number or tax identification listed on your subscription agreement.
A Note cannot be transferred. The original Note must be fully redeemed and a new investment made in order to transfer invested funds to a new owner.
You may redeem your Note in partial or full upon maturity via ACH or wire transfer to the bank account provided in your Subscription Agreement. Contact us at [email protected] or call +1 (305) 521-9069, or +57 (300) 627-7605.
Yes, we may redeem your Notes at any time. Please read the Private Placement Memorandum for further details.
No, the Notes are not subject to the protection of any insurance. An investment in the Notes is not equivalent to a savings, deposit or other bank account.
Statements are emailed monthly to all investors within the first 10 days of each month.
In an effort to provide the best possible investor experience, the Medellin Real Estate Investment Notes program does not charge any administrative or maintenance fees for average account balances of $1,000 USD or more and electronic transactions. If your total investment falls below the $1,000 USD monthly minimum balance, a $10 USD fee will be assessed to your Note each month. A fee of $10 USD will be assessed for all wire redemption transactions.
The notes are subordinate to all our other existing and future secured, unsecured, senior, and subordinate debt obligations. If we ever encountered serious financial difficulties, principal and interest payments to the secured and higher priority creditors would take precedence over payments to the note holders. We currently have no debt as of March 2025, however we are likely to incur or issue debt that would rank senior in priority to the notes. See the Private Placement Memorandum and our financial statements for more details.
We began issuing notes in June 2024.
No. The notes are unsecured. Note holders do not have a lien on any of our assets.
You could lose the principal amount of your notes, plus all accrued but unpaid interest, if we ever encountered serious financial difficulties. The section of the Private Placement Memorandum entitled “Risk Factors” describes the material risks related to the notes. Whether the notes are appropriate for you depends on your risk profile, return objectives, investment experience, the diversity of your investment portfolio, and your ability to withstand the loss of your investment. The notes may not be suitable for all investors.
We have not requested a rating for the notes, nor do we intend to in the future.
There is no active secondary trading market for the notes.
Disclaimer
You are lending money to the Alvarez Pereira company when you purchase a note. The notes are not bank CDs. They are not FDIC-insured. The notes include the risk of loss as described in the Private Placement Memorandum section entitled “Risk Factors.” Please read the Private Placement Memorandum before purchasing a note. This web site shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of securities in any jurisdiction which such offer, solicitation or sale is not authorized. The offering is made solely by the Private Placement Memorandum.