GOLDEN VISA - WHAT'S NEW IN 2022?

Fund Snapshot

Q&A

Each fund manager or fund advisor has been invited to answer a series of questions about their own funds as well as the market in general.

We had the opportunity to speak with Julien Dufour, Managing Partner of Odeon Properties, to find out more about the Odeon Private Fund.

Could you please start by giving us some background about yourself and the team
working on Odeon Private Fund
? 

The Odeon Private Fund has one of the strongest teams with its Fund Manager, STAG Fund Management and Fund Advisor, ODEON Properties Group. STAG is part of the larger international group, Dixcart Group, with over 50 years of existence with a solid track record in fund administration, private wealth, corporate finance, tax, and immigration management, while ODEON Properties is a leading real estate developer in Lisbon with 8 years running track record investing along with Family Offices and HNWI.

Additionally, the fund is CMVM (Market Securities Commission) approved and regulated with Deloitte as its Auditor.

We know that Odeon Properties has been active in the Portuguese residential and commercial development market for some time. Why did you decide to create the Odeon Private Fund?

ODEON Properties prides itself on staying ahead of the curve and the progression into creating a fund was the next level in the aim to offer investors a solid targeted return andGolden Visa opportunity while still growing its footprint in the industry.

Additionally, both Managing Partners, Jorge Capelo was a previous Fund Manager, Julien Dufour has 10 years of experience in Private Banking and advising investors, therefore this was the perfect opportunity to once again leverage past experience and know-how.

Has the management/advisory team invested in Odeon Private Fund and, if so why? If not, why not?

ODEON Properties is invested into each constituting project of the Odeon Private Fund’s portfolio because we believe in what we do. As the advisory team, ODEON Properties is advising on what we do best, diverse real estate developments in the Portuguese capital.

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Min investment: €150,000 · Lifetime: 7 years · US Citizens: OK! 👍🏽· Subscription deadline: April 2023 🗓️
Odeon Private Fund’s investment profile is focused on the development of and yielding assets in the residential, leisure, and hospitality sectors. Could you please share your thoughts as to why you selected these particular sectors and what you hope to achieve by considering both development opportunities and yielding assets?

Going forward, the 3 main drivers of the Portuguese economy will be Tourism, Real estate, and Technology.Through our core business which is real estate, we advise the fund to invest in those sectors with 1/3 to 40% of the fund investing in hospitality, and the other 2/3 in residential developments, with one stunning project being developed in the best residential area in Lisbon (Campo de Ourique) and another residential project next to the largest future Tech Hub in south Europe (on the south side of the river, facing Lisbon).

Additionally, real estate has always been considered a conservative investment and the goal was to make the Odeon Private Fund as solid as possible with developments not only strategically acquired and in prime locations but also with unique and in-demand niche concepts to promote a diverse and confident portfolio.

How would you describe Odeon Private Fund’s risk profile: Conservative, Moderate, or Ambitious?

Acquiring prime and unique properties at a conservative price for development purposes is a conservative strategy because it doesn’t require a market rise to generate returns for the investors. However, it requires a competent team for the execution of the developments.

The Golden Visa rules state that a qualifying investment must be held for just five years but Odeon Private Fund’s lifetime runs for longer. Could you please explain the fund’s lifetime including the launch date and subscription period?

The Golden Visa rules state 5 years, however in a practical sense a client will always need time to gather and submit all their documentations to subscribe to the fund and later to sign up on the Golden Visa website (SEF portal). Approval from the SEF office could also take a few months before the 5-year Golden Visa term begins.

Additionally, after the 5-year Golden Visa term, most clients will decide to get their Permanent Residency or their Passport, which will take an additional 6-12 months. Therefore, we have created a fund period of 7 years to accommodate the pre-Golden Visa approval time, the 5 year Golden Visa term, and the Permanent Residency/Passport timing.

On average, how long does it take to onboard a Golden Visa investor into Odeon Private Fund and what are the main obstacles in the onboarding process?

There have been clients that have completed the fund subscription process in less than 10 business days. As long as the investor has a local legal representative then the process should be smooth.

In general, some Golden Visa investors are cautious because of the funds’ lock-in periods. How do you plan to deal with Golden Visa investors who may wish to exit Odeon Private Fund before its full lifetime?

The fund has a fixed 7-year period, however, if the client chooses to sell their shares to another client then an early exit is possible, however, there must always be an investor for those particular shares until the end of the fund duration.

It seems that most Golden Visa funds in Portugal are focused on real estate. What distinguishes Odeon Private Fund from the others?

Firstly, the Fund Advisor, ODEON Properties is a Portuguese-based/Portuguese-run company that has been operating in Portugal before the real estate boom in 2015. With its business and day-to-day activities focused in Lisbon, the company is able to provide its investors and clients with the best quality projects and business opportunities and offer their expertise to STAG/Odeon Private Fund.

Secondly, the fund distinguishes itself with the portfolio of competitively acquired, prime, diverse, and in demand noteworthy projects that are aimed to retain value with any market change.

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Contact Julien Dufour from Odeon Private Fund now

Min investment: €150,000 · Lifetime: 7 years · US Citizens: OK! 👍🏽· Subscription deadline: April 2023 🗓️
Many of those considering the Golden Visa are currently comparing funds vs real estate. What advice can you offer to help investors make the right decision for them?

The fund investment currently requires lower investment, with € 350k for the fund vs. € 500k for real estate. A fund is a hassle-free option (no scouting for properties, no management with daily problems) and the fund is tax-efficient (no transaction tax, neither capital gain).

Additionally, return on investment is also higher when compared to direct real estate purchases.

For people who are unfamiliar with investing in funds and may even be nervous about learning, what advice would you like to give them?

If the fund has a transparent and clear strategy, the learning curve becomes natural and easy. Clear ideas are simple to explain.

Considering the incoming Golden Visa rule changes on January 1st 2022, what advice would you give to investors who are currently looking into the program?

The Golden Visa investor should start looking into the fund opportunities prior to January 1st, 2022 to benefit from the great conditions still available, however, the investor should not feel rushed or pressured because they will still have the opportunity to invest in a fund in 2022.

What is your outlook for Portugal from both an investment and lifestyle perspective over the coming years?

Our outlook is positive for Portugal and for Lisbon in particular. Portugal has a prospering economy and excellent future projections. The country is flourishing in the tourism, real estate, and technology sectors.

Additionally, Lisbon, in particular, is one of the best European cities to invest in due to its low-cost living, weather, geographical position, gastronomy, English speaking, and safe conditions.

Is there anything else you would like to share with potential investors?

The Odeon Private Fund is a transparent fund with a clear and well-balanced strategy investing in prime assets in Lisbon that will provide regular reporting to investors. With solid targeted returns and capital preservation at its core, it is a leading fund to invest in Portugal.

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Sounds good! I'd like to get in touch now!

Min investment: €150,000 · Lifetime: 7 years · US Citizens: OK! 👍🏽· Subscription deadline: April 2023 🗓️