A Mountain Retreat with Institutional Returns
Faraya 2427 is a joint-venture development comprising two boutique residential buildings in Faraya, Mount Lebanon — the country’s premier mountain resort destination, minutes from Mzaar Ski Resort and Faqra Club. The project transforms a 1,237 sqm plot into 16 contemporary mountain apartments across simplex, garden-level, and duplex configurations.
Investors participate through a direct-ownership joint venture with EAP — Estate Asset Property, a Lebanese developer with deep regional expertise. The investor’s capital funds the land acquisition ($330K all-in), while EAP finances and manages construction. In return, the investor receives three completed apartments — two simplexes and one duplex — with a combined market value of $620,000 at current developer pricing (conservative), rising to an estimated $660,000 at anticipated completion-stage rates (base case) — representing a projected ~100% ROI over an estimated 36-month timeline.
Why Faraya, Why Now
Faraya sits at 1,850 metres elevation in the heart of Mount Lebanon, offering year-round appeal: skiing and snowboarding in winter, hiking, mountain biking, and festivals in summer. The area has seen sustained demand from the Lebanese diaspora — a global community of over 14 million — seeking mountain retreats that combine lifestyle with store-of-value real estate in Lebanon.
The project site, designated as plot 2427, occupies a prime position with unobstructed mountain views. Two residential blocks (Block A and Block B) will house a total of 16 apartments, with sizes ranging from 100 sqm simplexes to 167 sqm duplexes.
Chalet Collection
The development offers three distinct unit types, all designed with contemporary mountain aesthetics featuring wood, concrete, and glass:
| Type | Size | Bedrooms | Key Features |
|---|---|---|---|
| Simplex | 100 sqm | 2 bed / 2 bath | Private balcony, mountain views |
| Garden Simplex | 100 sqm + 68–211 sqm garden | 2 bed / 2 bath | Private garden, direct outdoor access |
| Duplex | 150–167 sqm | 3 bed / 3 bath | Generous living, sunset balconies |
Direct-Ownership Joint Venture
The deal is structured as a direct-ownership joint venture between the investor and EAP, the development partner. The investor purchases and holds the land title directly, then enters into a JV agreement with EAP for construction and development. The investor’s capital funds land acquisition, while EAP contributes construction financing, project management, and development expertise. Ownership of the completed units is allocated contractually.
What the Investor Receives
| Unit | Type | Approx. Size | Est. Value |
|---|---|---|---|
| 1 | Simplex with Balcony | ~100 sqm | $175,000 |
| 2 | Simplex with Balcony | ~100 sqm | $175,000 |
| 3 | Duplex | ~150–167 sqm | $270,000 |
| Total Estimated Value at Completion | $620,000 | ||
Values reflect current EAP developer pricing (~$1,771/sqm effective on indoor area). The ~100% projected ROI assumes approximately 7% price appreciation by project completion, consistent with the typical premium observed for completed vs. off-plan units in the Faraya market.
EAP — Estate Asset Property
EAP — Estate Asset Property
EAP is a Lebanese real estate development firm specializing in mountain and resort properties across Mount Lebanon. The company brings end-to-end development capability from land sourcing and permitting through construction management and unit delivery, with a portfolio of completed residential projects in the Faraya–Faqra corridor. For Faraya Heights 2427, EAP serves as both development partner and construction financier, aligning their incentives with project success.
EAP finances all construction costs independently, meaning the investor’s capital exposure is limited to the land acquisition phase. This structure materially reduces investor risk during the construction period.
Cost Structure & Projected Returns
Investor Capital Deployment
| Item | Notes | Amount |
|---|---|---|
| Land Acquisition | Plot 2427, 1,237 sqm | $320,000 |
| Registration & Legal Fees | Title transfer, notary, legal | $10,000 |
| Total Investor Capital | $330,000 | |
Total Project Economics
| Contribution | Party | Amount |
|---|---|---|
| Land Acquisition + Fees | Investor | $330,000 |
| Construction (1,834 sqm × ~$750/sqm) | EAP | ~$1,375,000 |
| Total Project Cost | ~$1,705,000 | |
| Allocation | Units | Est. Value (EAP Pricing) |
|---|---|---|
| Investor (3 apartments) | 350 sqm indoor | $620,000 |
| EAP (13 apartments) | 1,484 sqm indoor | $3,101,450 |
| Total Project Value | 1,834 sqm indoor | $3,721,450 |
Values based on EAP’s current listed pricing for all 16 units across Block A and Block B. Actual sale values at completion may differ. The investor’s 3-unit allocation (350 sqm) represents 19% of total indoor area.
Projected Revenue (Investor Allocation)
| Scenario | Price/sqm | Total Value (3 units) | ROI |
|---|---|---|---|
| Conservative | ~$1,771/sqm | $620,000 | ~88% |
| Base Case | ~$1,886/sqm | ~$660,000 | ~100% |
| Upside | ~$2,200/sqm | ~$775,000 | ~135% |
Investor receives 350 sqm of indoor area across 3 apartments (100 + 100 + 150 sqm). Construction cost is borne entirely by EAP (~$750/sqm across 1,834 sqm total indoor, ~$1.4M). Conservative scenario uses current EAP developer pricing; base case assumes ~7% appreciation by completion; upside reflects post-completion premium.
Investment Waterfall
Base-case scenario (~$1,886/sqm, ~7% appreciation over current developer pricing). Conservative scenario yields $620K; upside scenario (~$2,200/sqm) yields ~$775K.
Faraya & Mount Lebanon
Faraya is Lebanon’s most sought-after mountain destination, offering a rare combination of natural beauty, year-round recreation, and proximity to Beirut (approximately one hour by road). The area anchors Lebanon’s mountain tourism and second-home market, attracting both local high-net-worth buyers and the global Lebanese diaspora.
Mountain real estate in Lebanon has historically served as a store of value, with limited developable land driving long-term price appreciation. New supply is constrained by topography, zoning, and the boutique scale preferred by the market. Current demand is amplified by diaspora buyers seeking tangible assets in Lebanon with lifestyle utility.
Pricing Evolution
| Phase | Expected Price/sqm | Notes |
|---|---|---|
| Current Developer Pricing | ~$1,771/sqm | EAP listed prices for Faraya Heights 2427 units |
| At Completion | ~$1,886/sqm | Typical premium for finished, move-in-ready units (~7%) |
| Post-Completion (Upside) | $2,000–$2,200+/sqm | Comparable to premium Faraya chalets at full market pricing |
Key Risks & Mitigations
All real estate investments carry substantial risk. Investors should review the following factors carefully and consult independent advisors before committing capital.
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Construction & Delivery RiskProject may face delays due to permitting, supply chain disruptions, weather, or contractor performance. Estimated 36-month timeline is subject to change.Mitigation: EAP bears construction risk and cost. No capital calls to investor during construction. Contractual delivery obligations in JV agreement.
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Market & Pricing RiskReal estate values may fluctuate. Projected sale prices (~$1,771–$2,200/sqm) are estimates based on current EAP developer pricing and comparable market data, and may not materialize.Mitigation: Conservative scenario uses current EAP developer pricing (~$1,771/sqm). Provided the project is completed as planned, the investor receives physical assets; the ability to sell and actual sale prices will depend on market conditions at that time.
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Country & Geopolitical RiskLebanon faces ongoing economic challenges, currency volatility, and regional geopolitical tensions that may affect property values, liquidity, and repatriation of capital.Mitigation: Investment and returns are denominated in USD. Physical real estate has historically served as a store of value during periods of local currency devaluation in Lebanon, though historical trends do not guarantee future performance.
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Liquidity RiskReal estate is inherently illiquid. The investor will own completed apartments that may take time to sell depending on market conditions.Mitigation: Faraya mountain chalets have strong rental demand (Airbnb/seasonal). Investor may hold for income or sell at their discretion post-completion.
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Counterparty & Developer RiskThe project depends on EAP’s ability to deliver construction on time and to specification. Developer insolvency or underperformance could impact outcomes.Mitigation: The investor purchases and holds the land title directly in their name — not through an intermediary vehicle. If the developer defaults or the project stalls, the investor retains full ownership of the underlying land asset. This direct-ownership structure provides tangible downside protection from day one.
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Title & Regulatory RiskReal estate title transfer in Lebanon is subject to cadastral registration procedures that may be delayed. Regulatory approvals for construction and foreign ownership may be required and are not guaranteed.Mitigation: Full title search and cadastral verification are conducted as part of due diligence. The investor holds the land title directly, providing clear legal standing and ownership documentation.
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Capital Controls & Repatriation RiskLebanon has experienced periods of informal capital controls affecting the domestic banking system. Investors should be aware of this context when considering exit liquidity.Mitigation: In practice, mountain chalets in Faraya are predominantly purchased by Lebanese expatriates and diaspora buyers who transact in USD via international bank transfers — effectively bypassing the domestic banking system. Investment and returns are USD-denominated. The investor also retains full ownership of physical assets that can be held, rented, or used regardless of banking sector conditions.
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Force MajeureThe project may be affected by events beyond the control of any party, including but not limited to natural disasters, conflict, sanctions, or government actions that materially impede construction or title transfer.Mitigation: Force majeure provisions are included in the JV agreement. The investor’s direct ownership of the underlying land asset is maintained regardless of construction status.
Due Diligence Materials
The following documents are available to qualified investors upon application approval. Review these materials with your independent legal and financial advisors before making any investment decision.
Documents are available to approved investors as part of the due diligence process. Apply to invest to request access.
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