One building, one company, one bond series.
Each building is owned by its own Portuguese company. That company raises money from the community by issuing €100 bonds, buys the building, lets the homes at capped rents and pays out what the rent leaves after costs.
Six steps, in order.
Join and verify
Open an account on the licensed crowdfunding platform: identity checks and the EU appropriateness test. If you are not a sophisticated investor and put in more than €1,000 or 5% of your net worth, you see a risk warning and get a 4-day reflection period.
Invest
Buy LAR bonds at €100 each for a named building, paying in euro (or EURC, a regulated euro stablecoin).
Acquire
The building company buys the building after independent valuation and title checks. Bonds are issued only once title is in the company. The mortgage is registered in favour of the bondholders' representative.
Rent
Leases are registered under Portugal's affordable-rent regime (RSAA). Homes are let to eligible households at a capped rent.
Pay out
Every quarter: the base coupon plus the profit share, in EURC or by SEPA bank transfer, with a building-level report.
Exit
Sell to another verified investor on the platform's bulletin board, hold to maturity, or opt in to an exchange into a future pooled vehicle. No other redemption promise at launch.
Where the rent goes, in order.
Payouts come only from rent actually collected. They never come from new investors' money.
| + | Rent collected |
| − | Vacancy and arrears |
| − | Maintenance, insurance, property management |
| − | Company costs: audit, valuation, platform, custody, administration |
| − | Reserve top-up |
| = | Distributable rent cash |
| 1 | 1.25% base coupon to community bonds |
| 2 | Remainder shared: community bonds first, then the sponsor's 20% share only above a 3% payout to holders |
Why the hard rule
RealT, a US tokenised-rental platform, kept paying holders while homes were vacant or never owned. Detroit sued in July 2025 and RealT was liquidated in July 2026. Here title sits in the company before any bond is issued, and the auditor checks that every payout is covered by rent received.
Who lives there, and on what terms.
- Rent at or below 80% of the INE municipal median per m² (RSAA), at least 20% below market.
- Rent kept at 15–35% of household income. Eligibility criteria and income bands published per building.
- Leases of at least 3 years (the RSAA minimum). Annual increases capped at the legal NRAU coefficient.
- A lottery among eligible applicants when oversubscribed.
- The CIA and RSAA regimes restrict selling or re-letting at market rent during the contract. Good for the mission, and disclosed as a liquidity constraint.
Example unit: market value €220k, market rent €1,100, our rent €880.
What we buy, and how.
- Whole buildings of about 15–18 two-bedroom flats, existing or vacant stock needing renovation, bought about 15% below market.
- Independent valuation, survey and title review. Price at or below valuation.
- The purchase contract (CPCV) is conditional on funding and on the municipal assembly voting the CIA tax benefits. No money is committed before that vote.
- Bonds are issued only after title transfer.
- Bank debt only if concessional (2.5% or less). Debt at about 5% would lower holder returns.
- Renovating vacant homes adds supply and qualifies for 6% VAT on works under CIA.
What you can check, and who checks it.
| What | How often | By whom |
|---|---|---|
| Accounts audit | Annual | Statutory auditor |
| Building valuation | Annual | Independent valuer, value and report hash published on-chain |
| Occupancy and CIA / RSAA compliance | Annual | Outside auditor, not self-reported |
| Building P&L report | Quarterly, with each payout | Issuer, report hash linked to the payout transaction |
| Public register: price paid, valuation, rent, occupancy, costs, every payout with transaction hashes | Continuous | Anyone |
| Social parameters (tenant criteria, next city) | As needed | Holders and tenants, with free, non-transferable voting points that are never sold |
The bond terms fix the rent rule, the CIA and RSAA commitments, the payout waterfall and the opt-in exchange clause. The bondholders' representative (representante comum) acts for holders on default and runs any exchange offer. More on the legal structure →