The world’s most precious asset: land
Land is unique. No square metre of land exists in duplicate. You cannot replicate land, nor can you relocate it.
That makes decisions on the purchase or sale of land enormously important. But there is another option that offers numerous advantages over the sale of (building) land: a leasehold. This is our area of expertise at Ludwig Limbeck AG.
We offer proven and long-term solutions, tailored to the needs and objectives of private, municipal and commercial landowners. Whether you are seeking co-operative land development, optimum utilisation or immediate and sustainable passive income from your real estate, you can benefit from our professional advice, expertise and customised services.
There are many good reasons why we are the right partner for establishing a leasehold
We bring together four generations of experience in the real estate business and employ a team of seasoned experts in the fields of real estate, law, finance, project development and architecture.
We maintain outstanding contacts to financially strong investors for leasehold properties.
High-level investors seek to achieve attractive returns as well and thus are a) looking for land, b) well versed in the advantages of leaseholds as a business model and c) aiming for optimal development of the property in question. Hence, they are prepared to pay excellent ground rents. They view the property as a carefully calculated investment, not a speculative venture.
We pave the way for a prestigious new development to be built on your property, often with interregional appeal. And you can rest assured that it remains your property.
Our leasehold ideas give landowners the most valuable thing in the world: time
For about a decade now, the European real estate market has been characterised by excess demand, rising prices and low interest rates. Will there be major fluctuations in interest rates in the future? Current predictions give little cause for hope. The vast amounts of money circulating on today’s market are pouring into a limited number of types of investments, which are becoming increasingly unattractive due to the high demand.
For landowners the question is: what should we do?
By retaining the property, it may be possible to enjoy increases in value and eventually capitalise on this through a sale. But, in the meantime, the property generates no revenue and may even incur costs.
Selling at current market prices is an appealing option, but you may be liable to high taxes. It can also be problematic from a tax standpoint if the land belonged to a firm’s assets (as in the agricultural business, for example) or if the reserves of building land are no longer needed by the company itself and are to be used privately. But the main question remains: which investment is the wisest choice? The options are notoriously unappealing – and your savings are only protected from bankruptcy within the scope of your bank’s deposit protection schemes.
Leaseholds are an intelligent way of realising excellent returns. Your unique plot of land, which is found nowhere else in the world, remains in your possession, but is ‘rented out’, so to speak, for an extensive period of, say, 90 years. Revenue flows immediately: when the leasehold agreement is signed, the first payment is already due from the tenant – and these payments will continue to be made for decades to come. To you. To your family. To your children, grandchildren, great-grandchildren and heirs. You can count on it. The rent can also be increased over time, based on a variety of mathematical models. You can read more about this here. This allows us to give you more of what even the most treasured timepiece cannot produce: time for yourself, for your family and for the things you want to do in life with a minimum of effort on your part.
Would you like to find out more?
Take this opportunity to arrange an individual consulting session with us.
Our real estate, legal and tax specialists will review your property’s potential and make a recommendation that is tailored to your situation.