Wecity Raises €1,400,000 in Eleven Days to Refurbish a 17-Apartment Building Near Milan

06/10/2026 – ⏱ 3 min

Phase I at 11% covers its full tranche of a €3,000,000 loan, in a building with no units sold and works at 22%

This article is for informational purposes only and does not constitute investment advice or a recommendation of any kind.

Wecity has completed €1,400,000 to refurbish a building on Via Giordano Bruno in Busto Arsizio, in the province of Varese northwest of Milan, where 17 apartments and 21 parking spaces are planned. The raise took eleven days, at a pace of €88 per minute.

That pace contrasts with the norm: Spanish operations in recent weeks have been covered in minutes or hours, and this one took eleven days. It is not an indicator of the project's quality, but it does say something about investor appetite: projects outside Spain have been raising more slowly.

What was raised is Phase I of a €3,000,000 loan across three phases, so €1,600,000 remains to be raised. The rate is fixed at 11% a year, over 18 months extendable by six, with six months of mandatory holding and interest at maturity; the total estimated return is put at 16.50%, an estimate subject to risk and not guaranteed. The internal rating is AA, the platform's own grade which, as it warns, is not comparable to those of the agencies.

Two facts define the risk. First: no unit has been sold or reserved, and repayment depends entirely on those future sales. Second: construction progress stands at 22% and the file itself states that marketing will not begin until the developer has "resumed the works", wording that suggests construction is halted. The permit was obtained in April and the building has 2,115 sqm of built area.

On security there is something to check. The fact sheet records a first-degree mortgage over the asset, but that mention carries a footnote whose text does not appear in the file, and the security agent section refers to a "pledge", a form that does not correspond to a mortgage. Both points are worth verifying in the contract.

RYZE's valuations put the current value at €1,808,000 and the completed-building value at €6,790,000, some €3,210 per sqm. Here comes the most important clarification: the fact sheet attributes a 44.18% LTV on completed value to the €1,400,000 loan, but that ratio corresponds to the full €3,000,000 loan. The €1,400,000 of this phase equals 20.6% of the completed value. The first-drawdown LTV of 10.51% is correctly calculated on the €190,000 of the first disbursement.

The developer, Tea Real Estate S.r.l., has contributed €1,790,000 of its own funds for the acquisition, permits and start of works. The fact sheet presents this as 33.2% of the funds required, a percentage that only adds up against the €5,390,000 of the complete project, combining the full loan and €600,000 from other investors whose ranking is not detailed. It has operated since 2019 between Varese and Novara, and the file does not quantify units delivered or record previous operations with the platform.

In favour of control over the money: the funds are held in Lemonway escrow and released against verification by an external company that monitors their use. Wecity charges the developer a success fee of 4.50% plus VAT.

Investing in real estate crowdfunding carries the risk of losing part or all of your capital: the money is locked up until maturity, returns are not guaranteed and there is no deposit guarantee fund cover. No security eliminates that risk, and the outcome of the raise does not anticipate how the operation will end. Non-sophisticated investors have four calendar days of reflection to revoke their offer without penalty.

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Your real estate crowdfunding, in one app.

Discover new opportunities. Invest through leading platforms. Manage your whole property portfolio from a single place.

The Realty Investor beta is now available. Explore the market, discover new projects and get to know the platform with simulated money, without putting in any capital.

Download the beta and start discovering a new way to manage your real estate investments.