Leeds Community Homes - OFFER CLOSED

Leeds Community Homes Share Offer - OFFER CLOSED

£100 minimum

Risk factors

All investment and commercial activities carry risk, and investors should consider whether Leeds Community Homes is a suitable investment for them in light of their own personal circumstances.

 This offer is not covered by the Financial Services Compensation Scheme.


General investment risks

  • Offer Shares will not be transferable or traded on a recognised stock exchange.
  • Members wishing to withdraw their share capital will be able to apply to the Board for this purpose after the fourth year of operation (2020). Withdrawal of share capital is at the sole discretion of the Board.

Risks specific to Leeds Community Homes

  • The share offer may not raise minimum amount;
  • Leeds Community Homes may be unable to secure mortgage;
  • Leeds Community Homes can’t cover its core costs beyond 2016;
  • Mortgage interest rate may rise;
  • Leeds City Council planning refuse our application to be S106 provider;
  • Developer Citu is unable to meet agreed build timescales;
  • Difficulty selling the affordable intermediate properties;
  • Difficulty finding tenants;
  • Difficulty maintaining tenancies;
  • Void, damage and bad debt;
  • Policy environment for affordable housing becomes more hostile

Leeds Community Homes has undertaken a series of mitigation measures to reduce the risks stated above, including stress testing their plan at interest rates of up to 8% and confirmed that this project is still affordable even at the minimum investment. They have also  identified a lender - Ecology – who are particularly interested in the environmental credentials of the development and have indicated that they are keen to be involved in offering to lend to the purchasers of the flats the Society will sell on.

This list is not necessarily comprehensive and you should read the business plan to see what mitigation strategies LCH have in place for each risk. You should also read the of Leeds Community Homes to consider other risks which may impact upon your investment.

Offer Closed

 As of 31st January 2017 this offer is closed.

Read more

Need help?

The Ethex team are here to help from 9am to 5pm

https://www.ethex.org.uk/savings--investments_16.html

Invest and save with Ethex to

make money do good

You can browse, compare and invest in a range of products on Ethex platform from bank accounts and ISAs to equity investments and charity bonds that offer a social/environmental as well as a financial return. All you need to do is get started...