The crowdfunding platform “InRento” is entering another new market – Italy. For the first real estate rental project in this country, €520,000 was raised. This amount was collected in just over one hour. Such speed is becoming a trend for the company – recent projects have also been funded in a similar timeframe.
“Investor activity in this project clearly showed two trends — growing trust in InRento and the desire to include geographically diversified, high-return projects in portfolios. From the beginning, our goal has been to ensure the most attractive risk-to-return ratio. We see that hotel conversion and renovation projects in Italy are becoming an appealing alternative to projects in Lithuania and Poland,” says InRento founder and CEO Gustas Germanavičius.
“Hotel Catania, Italy” is the first project in Italy — a three-story, 1,460 sq. m. building located in the old town of Catania, Sicily. Thanks to the raised funds, it will be converted into a 4-star hotel with 35 rooms, a pool, terrace, and restaurant. The hotel will be operated by an experienced boutique hotel developer whose other properties maintain an annual occupancy rate of 85–90%.
Interest from Lithuanians and Europeans is growing
According to G. Germanavičius, more and more investors on the InRento platform — both from Lithuania and from countries like Germany, Switzerland, and Belgium — are looking for opportunities to invest in rental property projects. With stock markets showing volatility, these types of projects are becoming a highly attractive alternative.
“We see a clear trend that our platform’s investors are increasingly seeking investment opportunities abroad, especially in countries like Poland and Italy,” he says. “These markets attract attention due to the opportunities created by their scale — not only in residential real estate, but also in tourism.”
“Our goal is to meet this demand by offering professionally selected, reliably structured projects that allow for investment diversification without crossing into high-risk territory,” emphasizes G. Germanavičius.
He also notes that projects like Hotel Catania, Italy allow investors not only to expand their portfolios internationally, but to do so with clearly defined returns and tangible assets.
Value Creation
It is estimated that after renovation, the hotel’s value will reach €4.5 million. In its first year of operation, projected revenue is nearly €1 million, and investors will receive fixed monthly interest payments of 9.25–10.5% annually, plus an additional 1.5% fixed return on capital growth at the end of the project.
According to G. Germanavičius, the company plans to offer even more similar investment opportunities abroad in the near future.