No, investors will not have to contribute further capital. All costs including bills and fees are funded from the Gross Rent. The risk of the largest unexpected costs, such as flood or fire, are mitigated through property insurance.
We also forecast certain costs, such as upcoming roof maintenance, and either (i) raise a works provision during the initial crowdfunding when the property is a New Listing or (ii) set aside a certain amount of the Gross Rent to deal with these costs as and when they arise. We make all of this information available to investors at the point of investment. If further information relating to costs becomes available later, we will communicate this clearly via our website so that all Investors (current and prospective) are aware.
It is possible that a cost is incurred that is larger than Gross Rent, and may be unexpected and also uninsured. In such a scenario Property Partner reserves the right to take out a loan which is secured against the property, to fund the expenditure. That loan is repaid from Gross Rent, and this impacts the investors’ returns accordingly. If this situation were to occur, the matter would be communicated clearly to existing and prospective investors alike in a clear, fair and transparent manner.