What is the investment opportunity offered by Elevate Living?

Elevate Living offers a unique investment opportunity in capsule homes within our premium developments, such as the Enclave Project. Investors can purchase these capsule homes and lease them for a fixed period, typically five years, through a structured rental program managed by Black Cabin. This setup provides a hassle-free investment with regular rental income.

Can investors claim ownership of the land where the capsules are placed?

No, investors do not own the land where the capsule homes are located. The land is owned by Elevate Living or its associated landowners. Investors are purchasing the capsule home itself and the right to lease the land for the agreed period. After the lease period ends, the agreement can be renewed or concluded based on the terms set forth.

Who handles the construction and development of the capsule homes?

The construction and development of all capsule homes are managed by Aurea One, a trusted partner of Elevate Living. Aurea One is responsible for designing, constructing, and delivering high-quality, sustainable homes that meet all safety and environmental standards. Their expertise ensures that each home is built to the highest standards of quality and durability.

What role does Black Cabin play in the investment process?

Black Cabin is the property management arm of Elevate Living. They are responsible for managing all aspects of the capsule homes post-construction. This includes:

• Handling all guest bookings and reservations.

• Managing day-to-day operations such as cleaning, maintenance, and repairs.

• Providing customer service to ensure a high-quality experience for guests.

• Collecting rental income and distributing returns to investors.

By entrusting Black Cabin with property management, investors can enjoy a passive income without the stress of managing the property themselves.

What percentage of the rental income do investors receive?

Investors receive a fixed percentage of the rental income generated by their capsule home. The exact percentage varies based on the terms of the agreement but typically ranges from 13% to 30% of the net rental income. The remaining percentage covers the land lease fee paid to the landowner and the management fee for Black Cabin’s services.

How is the rental income distributed?

Rental income is typically distributed on a quarterly basis. Black Cabin handles the collection of rental payments from guests, deducts the agreed-upon management and land lease fees, and then distributes the remaining income to investors. Detailed financial statements are provided to investors regularly, ensuring full transparency.

What happens at the end of the 5-year lease period?

At the end of the 5-year lease period, investors have several options:

• Renew the Lease: Investors can choose to renew the lease agreement for an additional term, continuing to earn rental income.

• Sell the Capsule Home: Investors may opt to sell the capsule home to another investor or back to Elevate Living under terms that are mutually agreed upon.

• Terminate the Investment: If the investor chooses not to renew, the lease agreement concludes, and the capsule home may be removed or repurposed as determined by Elevate Living.

Can investors sell their capsule home during the lease period?

Yes, investors can sell their capsule home during the lease period, provided that the sale complies with the terms of the original lease agreement. Any new owner would need to honor the existing lease terms, including the management agreement with Black Cabin and the land lease with Elevate Living.

Are there any upfront costs involved in the investment?

No, there are no upfront costs for investors beyond the purchase price of the capsule home. Elevate Living covers the cost of land preparation, garden design, and landscaping. This ensures that your property is beautifully presented and fully prepared for the rental market without any additional financial burden on you.

What are the tax implications of this investment?

Tax implications vary depending on the investor’s country of residence and specific tax laws. Investors are encouraged to consult with a tax advisor to understand the potential tax obligations related to rental income and property investments.

What happens if the capsule home requires major repairs or renovations?

Black Cabin manages routine maintenance and minor repairs as part of their property management services. If major repairs or renovations are needed, Black Cabin will coordinate the work and inform the investor of any significant expenses. Depending on the terms of the management agreement, some costs may be covered by insurance or shared between the investor and Elevate Living.

What is the process for getting started with an investment?

To begin investing in a capsule home:

1. Contact Elevate Living: Reach out to us via our website or through a consultation to express your interest.

2. Select Your Capsule Home: Choose from available units within our current developments.

3. Review the Investment Agreement: Understand the terms of the investment, including the land lease, management agreement, and expected returns.

4. Make the Purchase: Complete the purchase of the capsule home and pay any associated fees.

5. Enjoy Passive Income: Black Cabin will handle everything from property management to guest services, allowing you to sit back and enjoy your investment returns.