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Speaker 1: Now a new fintech firm believes that it has the

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Speaker 1: potential to disrupt how key we buy and sell properties.

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Speaker 1: The name is pro Properly and what it is is

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Speaker 1: that you can buy shares in a property development and

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Speaker 1: then when those properties are sold to get a pay

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Speaker 1: out on your holding. Now the founder is Dearhart van

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Speaker 1: der merv and is with us now, high dear.

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Speaker 2: Heart, good evening, hither Lord. If you chosen the.

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Speaker 1: Right name, it's a mouthful.

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Speaker 3: I think the name is probably the hardest thing for

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Speaker 3: the investors about what it is that we're doing is

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Speaker 3: how to pronounce it?

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Speaker 1: Go gone and give it to me? Did I do

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Speaker 1: it properly?

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Speaker 2: Very propoperly?

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Speaker 1: Oh no, the puns have started. Okay, what kind of

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Speaker 1: developments are people putting their money into?

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Speaker 2: Here?

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Speaker 3: Medium density residential developments. So for instance, the first project

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Speaker 3: that we've got as we're doing four duplexes, that's eight homes,

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Speaker 3: but all of the homes are very well apportioned and

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Speaker 3: very well sized.

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Speaker 2: Okay.

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Speaker 1: So the reason I asked is because we have just

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Speaker 1: covered on the show in the last couple of weeks

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Speaker 1: the fact that towns are not selling Auckland. Christ you

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Speaker 1: big problems, So why put money into townhouses?

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Speaker 3: Yeah, that's a that's a great question, Heather, and I

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Speaker 3: think for us, what it sort of comes down to

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Speaker 3: is actually being able to be a data driven first

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Speaker 3: approach and having a look what the market is doing

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Speaker 3: and specifically the areas and what the type of product,

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Speaker 3: the type of home that would perform really really well

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Speaker 3: in that particular area.

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Speaker 1: Why would someone put their money into this and not cheesies?

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Speaker 3: Well, I mean, if you look at sort of from

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Speaker 3: a cheesy's perspective, you're buying shares into a company. Now

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Speaker 3: having a look at the just from a quick data perspective,

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Speaker 3: sort of, the Nasdaq is very good. It returns about

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Speaker 3: nineteen point five percent on the long term average, although

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Speaker 3: if you invested in the NASDAK maybe about a year ago,

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Speaker 3: you'd probably need to be down about nineteen point five

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Speaker 3: percent right now. So there's a lot of speculation with

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Speaker 3: what the share prices are going to do. What we're

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Speaker 3: doing is we're actually taking a bit of land, a

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Speaker 3: bit of dirt, and we're converting it into highest and

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Speaker 3: best use. So there's a genuine value added cycle and

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Speaker 3: it's a defined period so that we're taking the land.

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Speaker 3: We're adding value to it and then exiting it, exiting

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Speaker 3: that for a profit if everything goes well.

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Speaker 1: Okay, So are you saying close to assured.

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Speaker 3: Returns, Well, there's no, there's no guarantees and we can't

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Speaker 3: make any But that's why we're operating under the Financial

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Speaker 3: Market Conduct Act, and there's a full product disclosure statement

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Speaker 3: that's attached to this financial product of equity securities.

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Speaker 2: So what that.

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Speaker 3: Means is that we've disclosed everything, to the best of

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Speaker 3: our abilities, all of the risks that goes into this,

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Speaker 3: so that your average investor can come along for the

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Speaker 3: journey understanding that these are the risks and can we

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Speaker 3: responsibly share those risks and therefore responsibly share the outcomes.

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Speaker 1: Yeah, do you think that? I mean, may is it

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Speaker 1: possible that you might have missed the kind of hype

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Speaker 1: in the in the property market, because I see there

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Speaker 1: are an increasing number of people who are now saying publicly,

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Speaker 1: end of the it's the end of the boom. We're

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Speaker 1: never going to see the returns that we saw on

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Speaker 1: property prices before.

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Speaker 3: Well, that's a that's an interesting point, and I mean,

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Speaker 3: looking at it from a market dynamics perspective, you know

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Speaker 3: if I was to say, hey, I've got a crystal ball,

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Speaker 3: my crystal ball would say that we're right at the

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Speaker 3: bottom of the property market right now and that things

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Speaker 3: are just going to keep getting stronger from here. So

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Speaker 3: we're not going into this speculating. We're not going into

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Speaker 3: this to say, hey, we're banking on property prices appreciating

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Speaker 3: we're delivering a genuine value creation cycle here, So.

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Speaker 2: We're not looking to.

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Speaker 3: Exit the properties to say, hey, there's going to be

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Speaker 3: an additional three percent, five percent, eight percent uplift in

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Speaker 3: the property market. That's why we've got an independent valuation

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Speaker 3: that values the properties on it as proposed basis as

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Speaker 3: at today's date.

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Speaker 1: Now on the idea, and I've always been fascinated by

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Speaker 1: the idea that you would take a share in a

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Speaker 1: property and then you know that would be your investment.

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Speaker 1: Why I'm fascinated by it is because I think I

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Speaker 1: think our love of property DeHart is because we can

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Speaker 1: live in it, right, So it's not only something you

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Speaker 1: invest in, but it's actually functional for you. But if

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Speaker 1: you're just buying a share and a property, you can't

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Speaker 1: live in it. So do we still have a love

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Speaker 1: of it?

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Speaker 3: I one hundred percent understand what you're saying there, and

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Speaker 3: I agree with you, and I think that this mechanism

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Speaker 3: isn't about owning the property. It's about participating in the

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Speaker 3: value creation cycle of property so that you can participate

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Speaker 3: in that value that's being created, whether you're a part

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Speaker 3: of it or not, and that you can share in

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Speaker 3: that value so that you can redirect that value to

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Speaker 3: be able to get into the home that you want.

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Speaker 3: I mean, when you actually just quickly look at the

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Speaker 3: numbers herether it's actually quite staggering the average amount of

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Speaker 3: time that it's taking in New Zealander to save in

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Speaker 3: order to get a mortgage.

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Speaker 2: It's pretty much to the point that future.

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Speaker 3: Generations, unless they've got a bank of mom and Dad,

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Speaker 3: they've probably locked out of property permanently.

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Speaker 2: So that's what we're all about.

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Speaker 3: We're all about saying, hey, this value is being created.

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Speaker 2: The property developers like they.

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Speaker 3: They participating in that value creation cycle make a tremendous

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Speaker 3: amount of money, So can we get them to Can

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Speaker 3: we get the public, the retail investor to share in

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Speaker 3: that value creation cycle?

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Speaker 1: Okay? Interesting, I look forward to seeing how it goes

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Speaker 1: for you. Dee Heart vandermv pro properly founder.

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Speaker 2: For more from Hither Duplessy Allen Drive, Listen live to

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Speaker 2: news talks.

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Speaker 3: It'd be from four pm weekdays, or follow the podcast

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Speaker 3: on iHeartRadio