FAQ

Frequently asked questions

FREQUENTLY ASKED QUESTIONS

Purchase process and payments

The listing price of a parking space is €23,000.

The only accepted payment method for purchasing a parking space in CarParkFly or any other project from the project developer is bank transfer. When transferring the funds, the name of the bank account holder must be identical to the name on the contracts signed with the project developer.

Please note that we do not accept cash payments, cryptocurrencies or any other alternative payment methods to traditional bank transfers.

Yes, you can reserve a parking space by paying a deposit of €1,000. This will lead to one of the following two scenarios:

  • If you choose to pay the 1st installment, the deposit (€1,000) will be deducted from the 1st installment (€10,000).
  • If you choose not to pay the 1st installment, the deposit (€1,000) will be refunded.

Yes, the standard payment procedure is to pay the purchase price in two installments: a 1st installment of €10,000 and a 2nd installment of €13,000. The delay between the two installments is 3 months. You also have the option of paying the full purchase price at once.

In case you do not pay the 2nd installment, you are entitled to a reimbursement of 5% of your 1st installment according to the contract with the project developer.

When purchasing a parking space, you must follow the payment instructions provided by the project developer (GNH Real Estate Developments d.o.o.). The funds for the purchase must be transferred directly to the project developer who is the owner of the parking spaces you are purchasing and the project as a whole. This qualifies the purchase as a direct real estate transaction and ensures maximal transparency in the purchase process.

Your investment funds are only handled by the project developer, and never by CarParkFly d.o.o. or any of its associates.

No, CarParkFly and the project developer does not charge any fees or extra costs.

If you choose to let CarParkFly manage the rental of your parking space, certain fees will apply. Please see further information in the section “What are the costs of renting a parking space out?” below.

As proof of ownership of your parking space you will receive an official title deed in your name or that of your company. The title deed is registered in the local land registry and issued by the authorities. You will also receive a receipt of payment and a purchase contract from the project developer.

The title deed will be issued at project delivery (ie. when the construction is finished).

When purchasing a parking space before the construction is finished (an off-plan purchase), you will have to sign two contracts:

  • Business cooperation contract: This agreement establishes and describes the relationship between you and the project developer. The agreement states that your purchase is perceived as a collaboration with the developer in the CarParkFly project. This mutual collaboration is necessary since the project is not finalized at the time of purchase. The agreement also outlines the rights and obligations of each contracting party along with the common goal of the involved parties, which ultimately is the finalization of the project as well as the transfer of the ownership of the parking space to you.
  • Purchase Agreement: When the construction of the project is finished you will receive a final purchase agreement that outlines all the details of the purchased parking space. This agreement can only be made once the project is delivered as certain details cannot be specified before the construction work is completed.

Renting, selling and using the parking space

Yes, there are two possible ways of generating returns: 1) by renting the parking space to other users, and 2) by selling it with a profit. You can read more about renting and selling your parking space in the answers to the questions “Can I rent my parking space to other users?” and “Can I sell my parking space?” below.

NB: We cannot not in any way guarantee that your parking space(s) will generate any returns. As with all other investments, risks are involved and we recommend you seek independent advice from a professional investment advisor before purchasing one or more parking spaces in our facility.

Yes, as you are the owner of the parking space, you are free to rent it out as you like and also enter into any type of rental agreement you want. The general user conditions of the parking facility must of course be respected. The general user conditions can be obtained by contacting us.

In terms of rental you have three options:

  • Management Agreement (CarParkFly handles the rentals for you)
  • Third party service provider (a third party service provider handles the rentals for you)
  • Self-management parking spaces (you handle the rentals yourself)

CarParkFly offers to manage the rental of your parking space for you. The rental is exclusive, meaning that CarParkFly will handle all rentals without any possibility of usage from the owner. The conditions of this collaboration are outlined in a special agreement (Management Agreement) which can be obtained by contacting us. Please note that the choice whether or not to make use of our rental services is yours alone, and that no parking space owners are obliged to enter into any rental agreements regarding their parking spaces.

If you choose to ahndle the rental of the parking space to other users yourself, it will be necessary to make some minor practical arrangements with CarParkFly regarding the usage of your parking space(s) as the majority of the parking spaces in the facility will be handled by CarParkFly. The practical arrangements are described in the Management Agreement. Your potential return will depend on several factors such as the rental price, frequency of rentals, seasonality, general market situation, etc., but also your marketing efforts, expenses related to the rentals, etc.

The Management Agreement is an optional agreement which gives you an opportunity to earn passive income through rentals of your parking space. The agreement is made between you and CarParkFly d.o.o., and outlines the rights and obligations of each contracting party in the collaboration. If you choose to sign the Management Agreement, CarParkFly will handle all the rentals and additional services for you.

If you have signed the Management Agreement, you will benefit from a nearly equal distribution (allocation) of the rentals handled by CarParkFly. All rentals are allocated as evenly as possible among the parking space owners who have signed the agreement.

Additional services (such as car wash/cleaning) are connected to the specific rentals they are booked with. The revenue they generate are attributed to the individual parking space owner who owns the parking space being used for the specific rental and additional services.

If you have not signed the Management Agreement, you will not be able to benefit from the allocation of rentals by CarParkFly, but must provide and handle all your rentals yourself. Additional services must also be provided and handled by yourself.

Each parking space owner who has signed the Management Agreement is entitled to a percentage of the revenue generated by his parking space(s). The calculation of the revenue percentage is based on 1) the revenue from the rentals and additional services, and 2) the expenses related to the parking spaces:

  1. The revenue includes all types of revenue including rentals, car wash/cleaning services and any other additional services.
  2. The expenses include all expenses relating to the operation of the parking facility and are calculated by the accountant of CarParkFly d.o.o. at the end of the financial year. Each owner’s expenses are calculated by dividing the total operating expenses with the number of parking spaces owned. The added expenses related to any additional services for the individual parking spaces are taken into account and attributed to the relevant parking space owner in the calculation.

All rentals – with and without additional services – are allocated as evenly as possible among the individual parking space owners in order to distribute revenue and maintenance costs as evenly and fair as possible.

Payment of the revenue to the parking space owner will happen once a year to the owner’s account.

Each parking space owner who has signed the Management Agreement is entitled to a percentage of the revenue generated by his parking space(s). This includes all types of revenue including rentals, car wash/cleaning services and any other additional services.

The calculation of the revenue percentage is based on 1) the revenue from the rentals and additional services, and 2) the expenses related to the parking spaces. The expenses include all expenses relating to the operation of the parking facility and are calculated by the accountant of CarParkFly d.o.o. at the end of the financial year. Each owner’s expenses are calculated by dividing the total operating expenses with the number of parking spaces owned. The number of rentals and additional services is divided as evenly as possible between the individual parking space owners in order to distribute revenue and maintenance costs as evenly and fair as possible.

Payment of the revenue to the parking space owner will happen once a year to the owner’s account.

No, the internal location of the parking space does not make a difference in terms of rentals or rental revenue as all rentals are divided evenly between the parking space owners who have signed the Management Agreement. Additional services such as car wash/cleaning will also be divided as evenly as possible between parking space owners.

Yes, as you are the owner of the parking space, you have the right to use it yourself.

Your right to usage of your parking space is subject to the general user conditions, which can be obtained by contacting us. Your right to usage of your parking space can also be affected if you choose to enter into any agreement regarding the use of your parking space with CarParkFly or anyone else.

If you choose to sign the Management Agreement, you will lose your right to the usage of your parking space as all rentals will be handled by CarParkFly. In this case the parking space must under all circumstances be available to the clients of CarParkFly in accordance with the Management Agreement, and partial use/rental is therefore not an option.

If you choose to let a third party service provider handle the rentals, partial use/rental can be an option, but your possibilities of using the parking space yourself will depend entirely on your agreement with the third party service provider.

If you choose to handle the rentals yourself, partial use/rental is an option as you alone decide who will use your parking space at any given time.

If you choose to manage the rental of your parking space yourself, the associated costs will depend entirely on your own business acumen.

If you choose to let CarParkFly manage the rental of your parking space, you will have to sign a written agreement (Management Agreement) which outlines all expenses in relation to the management of the parking spaces. This agreement can be obtained by contacting us.

Yes, as you are the owner of the parking space, you are free to sell it whenever you want and use any agent of your own choice. Please note that you alone are responsible for calculating the sales price, finding the buyer and handling the sales transaction. You are also responsible for any expenses or additional costs related to the sale, such as notary fees, taxes, etc.

CarParkFly is not obliged to assist the owners of the parking spaces in finding potential buyers or to participate in any other sales related activity.

NB: We cannot not in any way guarantee that your parking space(s) will generate any returns. As with all other investments, risks are involved and we recommend you seek independent advice from a professional investment advisor before purchasing one or more parking spaces in our facility. We highly recommend that you carry out your own due diligence before making any purchase decisions.

Yes, you are entitled to sell the parking space even though you have only paid 1st installment. This is possible because the project developer considers you the owner of the property at this point. In case you sell your parking space the buyer must transfer the purchase funds directly to you and not to the project developer. The official transfership of ownership (which includes issuance of a title deed and registration at the land registry) will not happen before the delivery of the project.

There is no overall exit strategy for the parking facility as such, since all the parking spaces will be owned by individual investors or companies when the project is delivered. However CarParkFly and the project developer does not exclude the option of selling the entire parking facility to one investor or operator. This will require acceptance from all individual owners of the parking spaces to sell their parking spaces at the proposed price and conditions. In other words this means that the sale cannot be concluded if one or more parking space owners does not agree with the proposed terms.

The possible exit strategies for the individual investor can be summarized to the following:

  • Individual sale: The individual parking space owner sells his parking space himself or through an agent of his own choice. The parking space owner handles all practical aspects of the sale.
  • Sale of the entire parking facility: The entire parking facility is sold to one buyer, which requires the acceptance of all individual parking space owners. CarParkFly and the project developer assists with the practical aspects of the sale, but the parking space owner is expected to participate in the sales process.

Miscellaneous

The overall purpose of purchasing a parking space in CarParkFly can either be 1) to use it yourself or 2) to use it for long term rental to end users. The rental of the parking space can be the basis of a yearly rental yield.

NB: We cannot not in any way guarantee that your parking space(s) will generate any returns. As with all other investments, risks are involved and we recommend you seek independent advice from a professional investment advisor before purchasing one or more parking spaces in our facility. We highly recommend that you carry out your own due diligence before making any purchase decisions.

The project developer GNH Real Estate Developments d.o.o. owns the project. This includes the land plot on which the project is being constructed as well as the project itself.

When you purchase a parking space you become an owner of that individual parking space. The ownership entitles you to all rights to parking space, including the rights to sell it, rent it out and use it yourself.

After delivery of the project all parking spaces will be owned by individuals or companies. The project developer will own any areas that are not contractually specified as owned by other individuals or companies, including – but not limited to – the common areas and outside areas.

Since late 2020 Mr. Leo Penovic has been project manager on the project. Mr. Leo Penovic brings with him 25 years of experience as a civil engineer and project manager on several large-scale projects such as Arena Centar Zagreb (€245 millions).

The architects on the project are the company Roje Arhitektura d.o.o. who has delivered all technical drawings and submitted all official applications (special conditions, building permit, etc.).

During the construction phase up until delivery, the project is insured by the contractor.

From the moment when the project has been delivered, the individual parking space owners are responsible for insuring their own property. At this point it is possible to contract property insurance (against risks for the property like earthquake, flood, fire, etc.), property owners responsibility, etc. Some insurance companies even offer title insurances as well as insurances of the lost profit (if the property is being leased).

CarParkFly will have modern security alarm systems and high quality video surveillance monitored by one of the leading security companies in Croatia. The parking facility will have secure access entry and exit systems which will also be surveyed 24/7.

Whenever a common decision has to be made, the parking space owners have the possibility of participating in an online video conference organized by CarParkFly. All parking space owners will be invited to the event and notified of the outcome of the event by email. The participation in the conference as well as the voting are both optional for all parking space owners.

The decision making itself is based on a democratic principle where each parking space owner has voting rights corresponding to the number of parking spaces he owns (ie. owning 1 parking space gives you 1 vote, owning 5 parking spaces gives you 5 votes, etc.). All parking space owners have the right to propose their own solutions to the decision at hand regardless of the number of parking spaces held. The proposed solution with the most votes will be the determining decision.

Parking space owners who have signed the Management Agreement will – in accordance with the agreement – be represented by CarParkFly, who makes all decisions on their behalf. This means that all parking space owners who let CarParkFly handle the rentals of their parking spaces, will also give their voting rights to CarParkFly and let CarParkFly make all common decisions for them.