How It Works
Investing in Property Development with Texmoore
At Texmoore we provide opportunities for High Net Worth and Self-Certified Sophisticated investors to access a range of carefully vetted property development projects.
Our unique exit-orientated platform, offers investors who qualify exclusive access to property development investment opportunities with targeted exits of between two and three years. We are particularly excited to offer this opportunity to retail clients and structure the securities so that they offer the attractive returns that appeal to people, whilst maintaining a core focus of being safe and fully asset backed.
Texmoore Limited has been operating for over seven years, and has gained a number of accreditations and professional registrations as it has grown. These include being full members of the Social Housing Ombudsman, the Government’s Deposit Guarantee Scheme, the Residential Landlords Association and the National Landlord’s Association. We also report to an FCA regulated security trustee who monitors our business model and operations to ensure we meet expectations and operate efficiently.
We conduct meticulous due diligence to provide our stakeholders with complete transparency and understanding on each development that they are involved in.
Since launching in 2014, we have committed hundreds of millions of founds in equity across dozens of UK developments with a gross development value (GDV) of over £1 Billion.
A Unique Investment Model
Our team of investment analysts go through an extensive due diligence process and then evaluate all project plans prior to presenting a proposal to the senior management committee. After a green light is given in principle, Texmoore turns to our funding partners to raise a portion of the required capital and we provide the remainder from cash reserves.
Our unique funding model allows for institutional and retail client funding and it allows individual investors to be connected with high-quality property development opportunities that were previously only accessible to ultra-high net worth investors. It allows normal investors, in search of solid returns and low risk offerings to have the freedom to become a Texmoore stakeholder and benefit from a product offering that best fit their investment requirements and build a diverse property investment portfolio. We do this by offering investors who qualify a number of distinct investment vehicles:
Convertible Loan Note
Our investors are able to offer funding in the form of a loan note that also gives the client a free option to be converted into equity at the point of IPO or equity funding round. Throughout the duration of the loan note, the client has the option to receive regular income as interest, which can be tailored to suit their cash needs. Alternatively, they can reinvest accumulated income and gain additional compounded interest at maturity. If the client chooses to convert to equity, they will benefit from slight under-pricing compared to market value, that normally is available only to large institutional funds.
The loan note has already repaid over £15 million to investors and was so successful that we have begun a second issue. It is fully secured as first charge against the assets of the company and backed by an FCA regulated security trustee. The trustee acts in the interest of clients and monitors the operations and financial position of the company to ensure it is healthy and robust.
Individuals can invest and offer their funding in the form of a Mezzanine loan to the developer. Investment returns on the project take the form of interest which are available to be paid at regular intervals throughout the duration of the loan. All of the loans are collectively secured as a ‘loan note issue’ with legal charge over company assets. Again, this is overseen by an FCA regulated trustee and the company offers a further director’s guarantee.
Occasionally, opportunities arise for investors to collectively take an equity stake in a property development project through a Joint Venture Agreement with Texmoore, receiving a proportion of the profits on exit (typically in a 50/50 split). The investment is secured against the property, the assets of the company and a personal guarantee from the company director.
How It Works
The process begins with our Development Team finding new and exciting possible projects. Or frequently, our expertise in specific sectors mean that we are approached by companies presenting the opportunity of joint ventures. We have excellent relationships with industry professionals across the country and are able to take part-completed projects off the books of companies which are illiquid or approaching insolvency. We are then able to raise funds promptly ourselves and take advantage of these opportunities, quickly completing the developments point of sale and realising profit.
Texmoore only deals with established industry partners. Our legal and compliance team undertake a review on the background of each developer and potential partner. This includes reviewing their operations and their track record and financial position. Due diligence is then conducted on development opportunities that are presented to have potential for high profits, are low risk and likely to be completed in a short period of time. If proposals are initially found to be viable, they are presented to our first Investment Committee.
If the development opportunity passes the first Investment Committee’s stringent criteria, it is handed over to our Analysis Team. Our analysts conduct in depth research into the proposal, any joint venture partners, and carry out thorough scenario planning and sensitivity analysis. They plan for any eventuality to ensure that the projects we select are highly likely to be completed smoothly, profitably, to the highest standards and within time constraints. A further Investment Committee finally reviews every detail to assess whether or not the proposal meets out strict criteria and a final green or red light is given.
Our Client Relations Team oversee the funding of the projects. Once a developments is agreed by all parties to offer an excellent opportunity, our Investor Relations Managers reach out to funding partners and also individuals who have expressed an interest in becoming Texmoore stakeholders. They provide clients with all the information that can and answer any questions a potential investor may have. Once the project is underway, our Portfolio Managers are always on hand to guide investors through the process, they conduct regular site visits and are always available to give feedback to investors.
Join Our Community of Thousands of Funding Partners
We can offer you a product that fits your needs and our experience focuses on managing developments for high reward and low, manageable risk. Our offerings are highly attractive and available to you, whether you have professional experience of property investment, are an industry professional or an individual who wishes to benefit from property development whilst not having the funds required or skill set to set out alone.
Over the years we have gained thousands of funding stakeholders from a diverse group of backgrounds and experiences. Our investor relations team are trained to explain things simply regardless of your familiarity with the industry.
By following our model, investors are able to access development opportunities that would have been reserved for industry insiders, with capacity and skill set to manage multi million pound complex construction projects.
Contact us and Register now to get exclusive access to high quality UK property developments investment opportunities.