Each plot of land purchased by Eden will be through a UK company which will be established as a Special Purpose Vehicle (SPV).
Each investor will become a shareholder in the SPV with their shareholding being in proportion to their investment stake. The formation of the Company, the Shareholder Agreement and where appropriate the Development Agreement will be prepared by our specialist property and tax lawyers based in London.
The effect of this structure is that each investor is protected by having direct security of ownership of the land through their shareholding in the SPV.
Profits made by the company are subject to Corporation Tax (currently at the rate of 19%) which is deducted before the profit is returned to the investor. Any further taxation will be dependent on the investors’ personal circumstances.
An investor will complete an Application Form and send this to our appointed lawyers, together with the relevant proof of identity documents.
Typically, these are in the form of either a certified copy of a passport or driving licence, together with a certified copy of proof of address in the form of a bank statement or utility bill less than 3 months old. Verification requirements may differ, particularly if an investment is made via a company or trust, however in these cases full requirement details can be obtained from our lawyers.
An investor will then be provided with bank details in order that the funds can be transferred.
Subsequently the investor will be issued with a Share Certificate confirming the shareholding and a Shareholders Agreement.