Loftly | Seed Investment in Mediterranean Wellness Living

The Opportunity

Why Spain's Costa Blanca, Why Now

15.9%1

Property appreciation (Alicante, 2025)

320+2

Days of sunshine per year

2hr3

Direct flights from major EU cities

$1.8T+4

Global vacation home market

Market Timing

Spain's Golden Visa ended April 2025—demand shifting to fractional models
Remote work driving extended-stay vacation home demand
Wellness real estate growing 18% annually5
Costa Blanca luxury segment outperforming broader Spanish market

American Opportunity

Foreign RE is the new diversification—not equities, not gold, not USD
Land + heritage architecture outperforming traditional hedges
Need legitimate vehicles without €500k minimums
90-day Schengen limits make fractional ownership ideal

¹ Idealista & Casa Rica Estate Market Guide 2025. ² Costa Blanca tourism board. ³ Alicante (ALC) and Valencia (VLC) airports. ⁴ Statista 2024, Knight Frank 2024. ⁵ Global Wellness Institute, "The Global Wellness Economy" 2024.

The Challenge

Why Traditional Ownership Doesn't Work

90/180-Day Schengen Friction

UK/US nationals restricted to 12 weeks/year in Schengen zone
€800k villa purchase becomes massively inefficient
Properties sit empty 90%+ of the year
No legitimate path to extended stays

Loftly: Optimized usage via co-ownership

Golden Visa Ended (April 2025)

€500k residency shortcut eliminated
Non-lucrative visa requires €28k+/year passive income
Digital Nomad visas need employment proof
Wealthy buyers left without clear options

Loftly: Compliant fractional alternative

STR Regulations Tightening

New community approval requirements (3/5 majority)
Rental income increasingly unreliable
Compliance complexity for foreign owners
Many regions banning new STR licenses

Loftly: Professional compliance handling

Investment Inefficiency

Large capital outlay for limited annual use
Management nightmare from 2,000km away
Family disputes over scheduling
€450k+ spent on vacations = zero residual value

Loftly: Optimized usage + income

The Model

How Loftly Generates Returns

Acquire > Retrofit > Fractionalize > Operate. We generate revenue through multiple streams with real estate backing.

Seed Investment

How Seed Investors Earn Returns

Seed investors own equity in Loftly (the operating company), not individual properties. Here's what you're investing in:

Token-Key Sales Margin

~15%

Markup on property fractionalization (~€80k per property)

Management Fees

30%

Of rental income (recurring, portfolio-wide)

Product Sales

40-60%

Margins on linens, bath, local goods

Construction Margins

Vertical

In-house renovation captures contractor margins

What Seed Investors Actually Own

Intellectual Property

Proprietary scheduling algorithms, booking platform, operational systems

The Loftly Brand

Premium wellness positioning and lifestyle brand assets

Construction Company

Vertically integrated renovation capturing contractor margins

Technology Platform

Scalable property management and guest experience software

SAFE Structure: €5M at €15M valuation cap. Converts to equity at Series A (projected Year 3-4 at €12M+ pre-money). This is a capital-intensive real estate business, not a high-growth tech play. Returns depend on execution, market conditions, and scaling trajectory.

The Numbers

Financial Projections (5-Year Horizon)

Illustrative projections based on 2-3 pilot properties scaling to 18 properties by Year 5.

Metric	Year 1	Year 3	Year 5
Properties in Portfolio	2	8	18
Token-Key Owners	12	48	108
Loftly Revenue	€275k	€755k	€1.2M
Net Operating Income	~Break-even	€200-300k	€350-500k

Note: Projections are illustrative. Full details, assumptions, and sensitivity analysis available in the prospectus. Returns depend heavily on execution, market conditions, and growth trajectory.

Capital Allocation

Use of €5M Seed Funds

Capital efficiency: 71% goes directly into revenue-generating assets. This is a real estate investment first.

Property Acquisition (3 Properties)

€2.7M

54%

Renovations (3 Properties)

€840K

17%

Platform Development

€300K

6%

Legal & Compliance

€200K

4%

Operating Runway (24 Months)

€600K

12%

Working Capital

€360K

7%

The Moat

The Restoration Hardware Thesis

Loftly isn't just a property company — it's a lifestyle brand with a built-in experiential showroom. Restoration Hardware built a $3B+ brand by getting customers into immersive gallery spaces for a couple of hours. Loftly gets them living with curated wellness products for 2-8 weeks. The conversion funnel is fundamentally different: guests form deep attachment to products they sleep on, cook with, and relax into every day. This isn't retail — it's an immersive brand experience that converts at dramatically higher rates than traditional e-commerce or even gallery retail.

Organic Linens

45-60%

margins on bedding, towels, robes

Bath & Body

55-70%

margins on artisanal products

Local Goods

35-50%

margins on olive oil, wine subscriptions

Home Fragrance

50-65%

margins on Mediterranean botanicals

1. Curate

Place premium wellness products in every villa — organic linens, artisanal bath products, local olive oils, home fragrance systems. Each item selected for quality guests can feel.

2. Experience

Guests live with these products for 2-8 weeks. They sleep on the linens, use the skincare, taste the olive oil. Deep product attachment forms naturally through daily use.

3. Convert

Frictionless purchase via QR codes in each villa and the Loftly app. Auto-replenishment subscriptions turn one-time purchases into recurring revenue.

Revenue Model: Every Villa Is a Showroom

Per-villa consumables revenue: Estimated at $8-15k annually from product sales and subscriptions per property
Recurring subscriptions: Auto-replenishment on consumables (bath products, olive oil, coffee, fragrance refills) creates predictable monthly revenue that compounds with every stay
Hardware layer: Water purification systems, air quality monitors, circadian lighting, and sleep-tech devices serve double duty — villa amenities that guests experience and products they purchase for their primary homes
Scale mechanics: Each new villa added to the portfolio is a new showroom and a new subscriber base. At 18 properties (Year 5 target), this becomes a meaningful standalone revenue line

RH gets a 2-hour gallery visit. Loftly gets a 2-8 week immersive living experience. That's the difference between browsing a showroom and building a daily relationship with a product. When you've slept on the same organic linen for three weeks, the purchase isn't a decision — it's a reflex. This creates a brand moat that pure e-commerce or retail competitors cannot replicate.

Liquidity

Seed Investor Exit Strategies

Seed investors benefit from company-level exits, not individual property sales.

Series A Round

Year 3-4

At 15-30 property portfolio scale, raising growth capital at higher valuation

Strategic Acquisition

Year 5+

Hospitality brands, lifestyle companies, or PE seeking turnkey wellness platform

Platform Licensing

Ongoing

White-label our technology and operational model to other markets

Exit Value Drivers

Portfolio Scale: Value increases non-linearly with property count—network effects, brand recognition, operational efficiency
Recurring Revenue: Management fees and product sales create predictable cash flows acquirers prize
Technology Assets: Scheduling algorithms, guest experience platform, and operational systems are licensable IP
Brand Premium: Wellness-focused positioning commands higher multiples than commodity vacation rentals

Leadership

Our Team

Led by experienced professionals in real estate, sustainable design, hospitality, and technology.

Yuliya Martin

Chief Design Officer

NYSID graduate with 10 years of hospitality startup experience, specializing in creating wellness-focused, biophilic living spaces that blend luxury with sustainability.

Tyler Martin

CTO & Founder

Startup veteran with 22 years experience. Founder of SpainExpat.com, the leading resource for expatriates in Spain, with deep knowledge of the Spanish property market and regulatory environment.

Build the Future of Mediterranean Living

SAFE Round

Valuation Cap

Pilot Properties