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Why is the guaranteed income fixed at 5%?

fixed guaranteed income
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Why is the guaranteed income fixed at 5%?

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A guaranteed return of 5% during the first 3 years in any tourism operation is an attractive investment opportunity, higher than normal incomes practiced in Europe. This represents a guaranteed return of 15% in the first three years of investment. In granting this guaranteed income to the management company is confirming its commitment and confidence in the product, assuring at the same time an attractive income for the owner, during the initial, development and stabilisation phases of the project. From this moment, the return on the investment is dependent on a stable market environment and normal market conditions.

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