FAQs

How does JaeVee work?

JaeVee stands for a joint venture which is between us as the property developer, the main contractor delivering the scheme and our equity and mezzanine investors. We leverage senior debt with a mixture of equity and mezzanine with an SPV being formed to act as the borrower and client. The senior and mezzanine debt interest is borne by the SPV as it forms part of the project costs. The net profits, after payment of the senior debt, mezzanine debt (if applicable) and equity invested, will be distributed according to each parties shareholding. Corporation tax will also be deducted.

What’s in it for JaeVee?

JaeVee JaeVee is the property developer behind each development in the East Region of the UK. Upon delivering upon the profits earned by the development when reaching practical completion, we receive 60% of the profit with 10% (leaving us with 50%) going to the main contractor as long as they have delivered on time and to budget. Therefore if the main contractor isn’t successful, neither are we. Hence why we project manage all developments via our sister company, Hatch Project Management to ensure we remain on programme throughout.

As the main contractor or housebuilder what’s my profit share?

You will receive 10% of the profit due from the project, be it sale, rental or business income on the basis you deliver on time and to budget. You will be appointed under JCT D&B terms with the contract sum being for market prices as dictated by BCIS. We’re not of the mindset to try and get you to do things on the cheap, as we realise the profits only come once you get there, not when you run out of money half way through! We do not charge interest on equity; only the senior debt and mezzanine debt facilities charge interest.

Great, how do I send you my proposal?

Simply email the feasibility to acquisitions@jaevee.co.uk. Should we like the property and get an offer accepted, we will submit the proposal on our platform internally.

This is how it works from start to finish.

What type of properties does JaeVee develop?

We develop both residential and non-residential schemes. Please review our criteria page for more information.

Will you invest in properties without planning permission?

Ideally, we like to stick to opportunities that have planning permission or permitted development rights. If planning is due to be issued (application submitted and validated), we will also look at it and potentially approve subject to the planning permission being issued.

Can JaeVee help me with the exit strategy?

Yes. As the main contractor, you’re not required to achieve the sales. All you need to do as part of the joint venture is reach practical completion on time and to budget. We take care of everything else including working with the appointed sales agents to sell all the units to homeowners, single let landlords or first time buyers. It's important to remember we're only successful when you are so it's in both our interests for you to succeed.

So what will JaeVee do from start to finish?

We oversee the lifecycle of the development from start to finish to ensure each scheme achieves an exit. Find out how it works.

If I don’t want to do the work of the main contractor, can I invest equity, mezzanine or both into a project?

If you’re a high net worth or sophisticated investor, you can invest in the project(s) of your choice via our joint venture equity platform.

Do I need to provide a personal guarantee?

Previously, our property development joint venture partners, directly responsible for delivering the scheme, were required to provide a personal guarantee, which was capped at 20% of the senior and mezzanine debt facility amount. On average the total debt amount is around 60-65% of the GDV.

Joint venturing with JaeVee helps to avoid a scenario where the senior debt lender calls in guarantees because we monitor the progress on a monthly basis. Therefore if it appears you're not on schedule, we would step in and take over the project to protect our investors equity and mezzanine investments.