I used my housing deposit to invest in commercial land in Spain. Its with a company called Fortuna Estates, has anyone heard of them?
The whole concept is similar to what we try and do here where you can invest in land before planning permission and then sell at a higher rate than what you bought it for when planning permission is granted. But instead of investing in land where you do not know if planning permission will be granted or not, the land here is already zoned for commercial development and because of the housing development it is apparently easier and quicker to get planning. (3-4 years)
The company represents a development company that builds commercial infrastructure such as hotels, golf courses, shopping complexes etc.
What you do is buy a part of the land (from 1000 sqm increments ) Each time the company releases more land the price goes up. It could start off as small as 7.20euros per sqm. During this time they work with the local council to get planning permission for the land.
When they get planning permission, this is when the value of the land hikes up and causes banks and pension fund investors to now want to invest in the land. (they probably cannot invest without planning permission that is why they do not invest before). So the value of land could go up to 34 euros per sqm. You can choose to sell or wait until building has completed. Once it is completed and they have a buyer everybody will have to sell their share in the land because you cannot for example own part of a hotel, or part of a shopping complex.
I don't know yet if I invested wisely or not but I thought, hey let me give it a try. I am in profit now so i can sell my share in the land and be 7.5euros profit but I think I will wait.
Their previous project went from 6.80 euros per sqm to 37 euros per sqm in two years.