Rendity Analysis

Rendity is a real estate crowdfunding platform based in Austria. It serves as an online community for investing in the property market through shares or loans in Austria and Germany. Since its launch in 2015, Rendity has attracted more than 36,000 registered investors and facilitated over €157 million in investments.^[1] In the past 12 months, the platform has funded €14.65 million, averaging €1.22 million per month.

• Rendity offers investments in the property market in Austria and Germany, via shares and loans, starting at a minimum investment of €100.
• Each investment is secured by a lien and identified by an ISIN from Österreichische Kontrollbank.
• The debt investments offer interest rates ranging from 3% to 9.75% but the platform doesn’t disclose its historic rates for delays and defaults.

Rendity operates as a commercial investment adviser in Austria and an authorized financial investment broker in Germany, regulated by the Chamber of Industry and Commerce (IHK). The platform offers investments ranging from €100,000 to €2 million with fixed interest income starting from a minimum of €100. The investments are categorized into three types:

1. Property Development: Investments in property shares aimed at growth.
2. Rental: Subordinated loans that provide income.
3. Lending: Loans that generate income.

The debt investments vary from 12 to 60 months, with interest payments made monthly, quarterly, or annually.^[2] Each debt is secured as a lien registered in the land register, with the entire profit participation rights secured. These investments are identified by an ISIN from Österreichische Kontrollbank and listed in its register.^[3] Investment returns are taxed for capital gains. Rendity handles payments, but investors must report taxes to comply with their respective country of residence.

Rendity offers a secondary market, where investors can buy and sell their property shares.^[4] Rendity is also available on mobile devices via the Apple App Store and Google Play. However, the platform does not offer an Auto-Invest feature.

Rendity has effective annual interest rates ranging from 3% to 9.75%.^[5] However, the platform has not disclosed any information regarding its delay or default rates but has reported repaying €66 million to its investors out of €157 million in invested capital.^[6]

Investors with Rendity do not pay direct fees. However, costs like operating, management, and appraisal fees are deducted from rental income and sales proceeds, but the exact amounts are not disclosed. A 1.5% fee applies to each side of secondary market trades, and Rendity takes 20% of any profit from property sales.^[7] It is assumed that Rendity generates revenue from fees and interest rate spread.

Lukas Müller is the current CEO and co-founder of Rendity. He previously founded LMVB, a private equity and real estate firm, and JusIT, an IT consulting company. Tobias Leodolter, the CIO and co-founder, holds a law degree from the University of Vienna and has a background in finance. Paul Brezina is also a founding member. The advisory board includes Michael Mitterdorfer, Managing Director of Alosima Capital GmbH; Daniel Keiper-Knorr, Founding Partner of Speedinvest; and Markus Jandrinitsch, Managing Director of Venture Capital aws Mittelstandsfonds and aws Gründungsfonds.

Rendity’s platform is managed by Rendity GmbH, which was founded in 2020 in Vienna, Austria. Major shareholders include IH Beteiligungen and Gründerfonds, with a capital of €47,596 held by MIC Müller Immobilien Consulting GmbH. Additionally, the company received €854,015 in state aid from the Young Entrepreneurs Initiative of Austria.^[8] In 2020, the company completed a seed funding round of €1.8 million from aws Gründerfonds and real estate investors Daniel Jelitzka and Ivan Holler.^[9]

Rendity has not disclosed its earnings. Since the company’s inception, Rendity’s assets have grown significantly, increasing from €66.3K to over €2 million in 2022, with a three-year CAGR of 58.7%.