Sitges: creating value through land preparation

The Sitges project illustrates one of DNPI Capital’s strategies: acquire land, prepare permits and licences, and sell the asset at a more advanced stage of readiness. According to company-supplied data, the project lasted two years and concluded with the sale of land with a licence.

Project figures

• Acquisition: €509,250.
• Permits and licences: €20,000.
• Total stated costs: €529,250.
• Sale: €760,000.
• Difference before other expenses: €230,750.

The difference is the sale price less acquisition and the stated preparation costs. It is not net profit or investor return. Taxes, financing, transaction costs, fees and other potential expenses have not been disclosed. An annual return cannot be inferred directly from this calculation either.

What preparation changes

A subsequent buyer considers the land together with the preparation already completed. The documentation, project parameters and remaining obligations still need examination. A licence alone does not describe the full economics of a future construction project.

The acquisition price needs to be considered alongside preparation costs, timing and the eventual buyer. If the entry price leaves insufficient room for costs and deviations, an appealing concept may have weak economics.

A specific case, not a promise

This project is completed and is not currently offered as an available investment. Every new site requires its own analysis. Past results do not guarantee future performance.

DNPI works exclusively in Barcelona and its suburbs. View the Sitges project or our land and permissions strategy. The structure, budget and participation terms are agreed for each project.

Source of transaction figures: DNPI Capital. This article is not an individual investment recommendation.