There are many reasons why a property developer may go broke during the process of development. For example, a collapse of property value can result in a significant loss on returns.
They may also go broke by paying too much for a site, designing and building the wrong product for the market or being unable to secure pre-sales in order to achieve construction finance.
KingsCoin prepares an analysis of the costs, risk, time and sales potential of any development prior to commencing it. This allows us to assess the potential risk, as well as projected return on investment and the return on equity.
The development also exists as a separate legal entity to KingsCoin, so your investment is always protected irrespective of unforeseen circumstances.