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In AVIVA LIVING, we offer fully furnished apartments for investment with a 5% guaranteed annual rental yield, says Irina Kaneva, Sales and Marketing Director of the construction and investment company BLD.
Tell us more about the new concept of BLD Aviva Living and how it differs from the traditional real estate investment model.
I will start by saying that the main difference between BLD and most companies in the industry is the flexibility to offer innovative products and services to our clients. Our thinking is outside the comfort of successful, established strategies. We focus on market dynamics, consumer demand preferences and implement best practices happening in Europe and worldwide.
Over the past few years, we have successfully expanded our product and service portfolio to complete the full cycle of services for our clients. Our goal is to offer a comprehensive solution for property purchase – from project selection, location, financing assistance, renovation and furnishing, to property management and maintenance.
The difference in this project is the added value for the client, which includes a guaranteed monthly rent regardless of circumstances, as well as finishing and modern interior of the homes, making them easier to rent out.
In the Sofia market, there is no standard for rental properties – every owner tries to achieve the highest price, but often the homes are in poor condition, cosmetically refreshed, or finished with low-quality materials and cheap or old furnishings. Often properties with excellent locations are in old buildings, with poorly maintained common areas, no parking options, and a host of other shortcomings that clients are willing to overlook for a home in a good area.
That's why our product is different – we have considered the location, which is uncompromising, the beautiful interior, functionality, security, parking spaces, maintenance, shared spaces, and everything that will ensure the realization of the homes in the short-term, mid-term, and long-term rental markets.
AVIVA LIVING is an investment product – ready-to-move in homes with guaranteed annual income.
The studios and one-bedroom apartments in AVIVA LIVING are fully furnished, close to the subway, public park, mall, hypermarket, hospitals, schools, and within walking distance to the center. They are specially designed for renting – with optimized sizes and furnishings that ensure maximum comfort and functionality.
AVIVA LIVING also has a rooftop with fantastic views of Vitosha and to the city – it is a modernly furnished shared space where tenants can spend time outdoors and socialize.
How did the idea for this investment product come about, and how will BLD guarantee the rents? Shouldn't the owner wait before seeing a return?
AVIVA LIVING is a logical extension of our BLD Living concept, within which our company introduced fully furnished rental homes in the MONA 2 building in Manastirski Livadi-East to the market.
Our experience in managing a building with homes for short-term and mid-term rentals gave us the confidence to proceed with the next move, especially since AVIVA has an excellent location where the demand for small investment and rental properties far exceeds the supply.
BLD is part of the largest real estate holding, and we have access to analyses, databases, and trends by areas from our real estate agencies Imoteka, Address, New Estates, Unique Estates, Forton, which are not only leading names in the industry, but also hold a stable share of sales and rentals of homes in Sofia. So, this product is created to meet the demand of people who invest in properties and is based on serious market research and forecasts for the coming years.
With the purchase of a home, we sign a rental agreement with our client for two years. The yield is 5% annually, paid in monthly rents. That is, in two years, our clients will receive from BLD rents amounting to 10% of the purchase price of the apartment without being involved in the rental process and tenant relations.
The rent is guaranteed, regardless of the circumstances – our clients will receive rent year-round, even for months when their home is unoccupied, and the new owners don't need to wait before seeing a return, as BLD starts paying the monthly rents for the home one month after the deal.
What should people who decide to invest in AVIVA LIVING consider?
They certainly don't need to think about repairs, furnishings, viewings, finding tenants, risks of unpaid bills and rents – the BLD team has already taken care of all that.
Rather, those who purchase apartments in AVIVA LIVING would be faced with the decision either to continue renting out their property after the first two years or to move in. AVIVA LIVING is a product that will preserve their money and bring them a guaranteed return from rents. It is also a solution for people who want to buy a second home on credit, in which eventually, after years, their grown-up children will live. The guaranteed monthly rent will pay the mortgage installment, and clients will have peace of mind knowing they made a good investment in the central part of Sofia, which they can always turn into a home to live or money.
You can read more about the interview here.