Control of when and on what terms a property is sold is down to the shareholders of the SPV.
If we reach a situation whereby the property market has dropped in value, all shareholders will vote as to whether we dispose of the property or look to refinance.
The shareholders agreement dictates that 81% of shareholders need to reach an agreement in order for a matter to be passed. This means 21% out of 40% held by investors have to agree. That equates to 52.50% of investors being required to agree.
Prior to presentation to shareholders, our team will look at the best option for exiting the property for a combination of (i) the best price and (ii) the shortest exit period and then write an exit report.This report will be circulated to the shareholders, along with the proposed exit route. Investors will then have the opportunity to vote as to their preferred choice. There is a 14 day fixed period for responding, with abstentions being deemed to agree to our suggestion. This is designed to avoid situations where people are holding up an exit if they are unavailable (or uninterested!).
If 81% of shareholders vote on an agreed strategy, then that strategy will be executed - inline with the terms of the shareholders agreement for the SPV.
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JaeVee is a trading name used by all companies within the JaeVee Group of Companies, including JaeVee Holdings Ltd. JaeVee Holdings Ltd is registered in England & Wales with company number 10172481. The registered office of the company is 3rd Floor 86-90, Paul Street, London, England, EC2A 4NE.
JaeVee Holdings Ltd (10172481) undertakes unregulated loan brokerage business that does not entail consumer credit or regulated mortgages. Arrangements by Group Companies to issue their own shares constitute unregulated business pursuant to Article 34 of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (RAO).
Information about investments is only available to investors who demonstrate that they qualify as high net worth individual investors or sophisticated investors or otherwise fall within categories of investor who can receive financial promotions from unregulated persons in accordance with the requirements of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (FPO). Property investing carries the risk of losing some or all of the capital invested. JaeVee does not provide investment advice and investors who are in doubt about whether investing is right for them should consider seeking advice from an appropriately qualified professional adviser.
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Investing in JaeVee involves risk, including loss of capital and illiquidity and it should be done only as part of a diversified portfolio. Investments made through JaeVee are not covered by the Financial Services Compensation Scheme (FSCS). Please read our full risk warning before deciding to invest.
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