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Exit Timeline & Process

V
Written by Vladyslav Khrypun

Summary: Real estate is not instantly liquid. That's the characteristic of the asset class. You have two ways to exit: sell your shares during exit windows (after a 12-month lock-up), or wait for the full property sale. All exit costs are disclosed before you invest.


Understanding Exit Options

Unlike stocks or crypto, real estate isn't instantly liquid. We're transparent about this because we want to ensure that all of the users are onboard. If you might require this capital in 1 month, we would not recommend you to invest in Real Estate. We're working on making real estate more accessible, but the nature of the asset means time is part of the deal.

Option 1: Exit Windows

Sell your shares to other investors. The first exit window opens 12 months from launch. After the initial lock-up, there is an exit window every 6 months.

Option 2: Full Property Sale

All investors vote to sell the entire property.

All costs for both options are disclosed before you invest.


Exit Windows Explained

What Are Exit Windows?

Two-week periods (May and November) when you can:

  • Sell your shares to other investors

  • Buy shares from investors who are selling

Timeline

Month

What Happens

July

Exit window #1 (2 weeks)

January

Exit window #2 (2 weeks)

Requirements to Sell

  • You must have held shares for at least 1 year

  • Shares bought during exit windows have no lock-up

What If My Shares Don't Sell?

No problem. You keep your shares and continue earning rental income. Try again at the next exit window. No fees charged if shares don't sell.


Full Property Sale

How It Works

Investors may vote to sell the property, if the valuation of the property is satisfactory to the majority.

  1. Arvo posts a valuation every 6 months.

  2. If the valuation is satisfactory for the majority, investors vote to sell.

  3. If majority vote in favor, property is listed for sale.

  4. When sold, proceeds are distributed.

When Does This Happen?

Usually after 3 to 5 years when the property has appreciated significantly, market conditions are favourable, or enough investors want to exit.

What You Receive

Property sale price     minus transaction costs (disclosed upfront)     minus final expenses (disclosed upfront)     = Net proceeds  Your share = Net proceeds × Your ownership %

All these costs are shown in the original property listing. Note that final proceeds may vary.

Proceeds go directly to your Arvo wallet.


Timeline: What to Expect

Short Term (Year 1)

  • Property Shares are locked

  • Earn monthly rental income

  • Cannot sell during exit windows

  • All fees already disclosed

Medium Term (Years 1 to 3)

  • Can sell during exit windows

  • Continue earning rental income

  • Watch property value grow

  • Exit fees remain as disclosed

Long Term (Years 3 to 5+)

  • Full property sale becomes likely

  • Maximum appreciation potential

  • Vote on sale decisions

  • No hidden fees at exit


Making the Most of Your Exit

Tips for Exit Windows

  • List at or slightly below current valuation for faster sale

  • Be patient. You can try again at the next window.

  • No penalty for trying - no fees for listing.

Tips for Long-Term Exit

  • Real estate rewards patience.

  • 3 to 5 years typically shows best returns.

  • Property appreciation takes time.

  • The Performance Fee means we benefit when your property appreciates. We are not indifferent to outcome.


Common Questions

Can I exit anytime I want? No. Current regulation does not allow 100% liquid orderbook. Real estate requires time. Use exit windows or wait for property sale. This is true for any real estate investment.

What if I need money urgently? Exit windows are your best option. Plan ahead. If you require money today, we would not recommend to invest in real estate.

Is selling guaranteed? No. During exit windows, you need buyers. If no one buys, you keep your shares.

Can I sell part of my shares? Yes. You can sell all or some of your shares during exit windows.

What happens to my rental income if I sell? Income is calculated up to the sale date. After sale, the new owner receives future income.

How is the share price determined? Based on independent property valuations, conducted twice per year.

Are there any hidden exit fees? No. Everything is in the property listing before you invest.


Need Help? Contact us.


⚖️ Arvo is regulated by the DFSA. All fees are disclosed before investment.

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