Some years ago, companies in Austria developed an easy way to increase their equity leverage, it was done through a so called “Sales & lease Back” model. Before, this model was used widely spread in the industry e.g. for leasing of buildings at franchise companies. The mentioned model makes it possible to create very lucrative investments for the common people, in this case investment into solar energy cells.
The investment I want to introduce is from https://www.buergerkraftwerke.at/eportal2/ which is basically a subsidiary of the city of Vienna and they offer a mid to long-term investment into their growing solar-power-plants.
Features of this investment:
- Support green energy
- Receive a yearly interest on your investment of 2.25%
- You can invest in a maximum of 10 solar panels for a price of 950EUR each
- Basically this “Sales & lease Back” model works like a bond and you will receive your full investment back after cancelling your investment or the offer ends
- if you cancel the investment within a period of the first 5 years you have to pay 75EUR as additional charges But as long as you invest in more than 4 panels these costs are already covered after the first year with the interest rate
- As this is a “Sales & lease Back” model you are basically the owner of the invested solar modules
- Scheduled run-time of the solar panels is announced with 25 years, nevertheless you can cancel your investment anytime.
Risk and return:
The initiative Buergersolarkraftwerke is owned by the company Wien Energie GmbH which is a 100% subsidiary company of the Wiener Stadtwerke Holding AG whereas the Wiener Stadtwerke Holding AG is owned by the City of Vienna and therefore I would say the risk of an investment is very limited.
As mentioned before the returns where initially 3.1% in interest but where now adjusted to 2.25% which is still a fair amount.
If you are interested in investing you have to subscribe to the newsletter at buergerkraftwerke.at to get into the queue for the next projects.
I personally suggest to invest a defined amount into some solar cells, the interest rate is ok and you are supporting green energy! (I’am personally invested in some solar modules)