Real Estate Investments and REIF – VCF Consultancy

Starson Real Estate Group provides creative financing solutions to real estate projects in Turkey with the various American and European funds it represents. With this service, Starson provides contractors with fast and strong financing opportunities in their large-scale projects, enabling them to quickly turn their projects into cash.

In the second step, real estate development services are provided by realizing the retail sales of the real estates that have been signed with Starson's “Sales Expertise”.

REIF: Real estate investment funds are regulated by the Communiqué on Principles Regarding Real Estate Investment Funds numbered III-52.3 (Communiqué) within the scope of Article 54 of the Capital Market Law (Law) No. 6362. Real Estate Investment Fund is a legal entity established by portfolio management companies and real estate portfolio management companies for a period of time or indefinitely in order to operate the portfolio consisting of assets and transactions determined by the Capital Markets Board (Board) on the basis of fiduciary ownership on behalf of the shareholders, with the money collected from qualified investors in return for their participation shares. It is an impersonal property.

GIF: GIF is a portfolio management license that obtained operating license from the Board in order to operate the portfolio consisting of money or participation shares collected from qualified investors in return for participation shares in accordance with the provisions of the law, venture capital investments and other financial assets and transactions permitted by the legislation, on the account of shareholders, on the basis of fiduciary ownership. It is an asset that is established for a period of time with an bylaw by companies and venture capital portfolio management companies and does not have legal personality.

Venture Capital Mutual Funds, which enable qualified investors to invest in venture capital, have the following summary characteristics;

• Venture capital investment funds (GSYF) can be established by portfolio management companies and venture capital portfolio management companies, and the GDP participation shares will only be sold to qualified investors.

1. GSYF toplam değerinin asgari %80’i girişim sermayesi yatırımlarından oluşacaktır. Girişim sermayesi yatırımı, doğrudan veya dolaylı ortaklık, girişim şirketlerine borç ve sermaye finansmanının karması olarak yapılandırılmış finansman (mezzanine finance) sağlama, girişim şirketlerinin ihraç ettiği borçlanma araçlarını satın alma gibi farklı yöntemlerle yapılabilecektir.
2. The assets in the GDP portfolio must be kept by an independent portfolio custodian in line with international practices.
3. In line with the international “private equity” model, different types of participation shares can be defined in the GDPs. Accordingly, GIFs will be able to issue qualified participation shares (General Partners (GP) Shares) and other types of participation shares (Limited Partners (LP) Shares). The rights and responsibilities of the participation share holders will be included in the GDPR bylaws and in the investor agreement to be drawn up between the participation share holders and the GDP.
4. It has been arranged to make a resource commitment to the GDP to be paid on different dates by qualified investors, and the minimum amount of the total resource commitment to be collected from qualified investors has been determined as 5 million TL. The resource commitment will be fulfilled within 1 year following the establishment of the GDP, and the GDP portfolio will be created within 1 year after that.
5. In accordance with the provisions of the Capital Markets Law, the GIF may be represented by the founder portfolio management company's board of directors or by one or more executive directors to be determined by the board of directors. Whether the performance fee will be charged for the portion of the portfolio consisting of venture capital investments will be freely determined in the GDPR bylaws and issuance documents.

In order for venture capital funds to comply with the interest-free finance criteria, the areas in which they invest and the operating process must comply with the principles of interest-free finance and be approved by the advisory board of the GDPR.

*Communiqué on Venture Capital Investment Funds (III-52.4) Official Gazette, 28874; June 7, 2014